U'll risk the company go bust. Imagine if u have rm100k worth of paper gold with u and the next day u see, the company bankrupt. Ur rm100k is gone with the company. If u have the physical, u don't have to worry. Like u buy from poh kong and the next day poh kong bankrupt. U no need to worry coz u have ur gold with u.

Another reason ppl buy physical is to curb hyperinflation. Money is being print in every country and it cause inflation. Money might become just a piece of paper. By then, ppl will use gold/silver as money just like few hundred years ago. Google mike Maloney and see for urself.

I invested in GIA (paper gold) instead of a physical gold coz I can't afford the physical. And I'm not investing a lot of money in GIA. Plus, it's a bank... Chances of it going bust is slimmer. It depends on how u look at it.

Gold dropped again in MBB