how much your 'alot' ? 1kg? 10kg? 100kg? If u keep 5kilobar at home also, dont need much space...not so expose to attract attention unless u want to showoff..

physical = you own the product... paper = you do not own the product

physical =  you determine the price (urgent= sale it lower price, not urgent = sale it at spot + your margin) ... paper = bank determine the price for you (spot - bank profit%, you cannot control), paper = need go counter unless is public bank

i not yet own physical gold, its just my 2 cent of being paper...

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Added on December 29, 2011, 10:52 am1555... if you own the physical gold.. would you go scratch on it? if paper so good, why gov still holding physical gold in their chest... hold paper = easier... anyway, its depends on individual

know why PM drop? from others sifu, they say those sharks tighten policy on margin calls on paper contracts on 1/1/2011, those on margin need to throw PM in order to maintain their bill into amount that can be payable. its a move by those big shark in order they can earn alot from this, coz more people have to and tend to throw when price is low... i cannot confirm whether its real or not but based on momentum like this, PM will keep drop , at least for 2011... expect lelong sales on price tmr...

I'm not a prophet and i'm not assuming anything.
Physical will still prone to damage. Nobody will go scratch the gold, but what  if you accidently dropped the gold? Nobody can predict shits, that's why there's insurance. But then again, insurance can't promise everything also.

At least you do not need to care so much when you are holding paper gold. You just monitor the price and keep your passbook.

I'm not saying physical gold is not good. Nobody would say no if they are offered a bar of gold but the thing is not everyone can afford that, and also not everyone are living in a banglo.

Here's my 2cent

If got scratch, damage etc, my physical gold will still hold the value if the weight is still the same.no worries dude!

If u hold physical, u got more ways to sell or manipulate rather than paper gold.

And please stay away from any kind of gold scheme!

if you check physical gold price from bank(namely UOB)... their spread is even higher... outside you can set you selling price much higher than the bank buying price, people will buy because the price is still lower than bank selling price... then is win win... why let the bank take all the profit... you can find many online seller selling different type of gold... maple, kijang, pamp... what types also got...

paper is 1 method, but physical is not bad as you all think also... low volume = 5g, 10gram... also easy la

sifu.. what do u mean by 'short term loan'
is it pajak the gold?

coz some my fren keep on saying..
u hv to buy physical gold.
so u can pajak it at ar-rahnu iinm.. from the money, buy summore gold..
n keep on doing it...

ps: sorry im noob, so ask this type of question..   

If you are that good in prediction, why you still working in bank? 

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Added on January 1, 2012, 6:07 pmI just bought 35g at RM166.5 paper gold then bought another 36g real gold necklace @S$67/g at 2nd hand jewelry shop, 2 weeks ago. Thinking of both ways to hold the gold investment, paper and physical. 

A question here, what is the best way to let go real gold on hand, which is unlike paper gold, must sell back to bank?