Gold has surged over 100% in just two years—impressive gains for sure. But here's the real question: what's the smartest way to actually hold it?
Cost structures vary wildly depending on your approach. Physical storage? You're looking at insurance and vault fees eating into returns. ETFs? Lower barriers, but tracking fees add up. Futures contracts? Tighter spreads if you're active, yet require constant attention.
Then there's the tax side. Capital gains treatment differs by jurisdiction and holding period. Some regions favor physical ownership, others penalize it. Your strategy needs to account for this.
Liquidity matters too. Can you exit quickly if markets shift? Physical gold locks you in. Derivatives offer instant exits but with counterparty risk.
So before jumping in—map your actual costs, your local tax framework, and your exit timeline. The best hold isn't just about price movement; it's about net returns after friction.
Gold has surged over 100% in just two years—impressive gains for sure. But here's the real question: what's the smartest way to actually hold it?
Cost structures vary wildly depending on your approach. Physical storage? You're looking at insurance and vault fees eating into returns. ETFs? Lower barriers, but tracking fees add up. Futures contracts? Tighter spreads if you're active, yet require constant attention.
Then there's the tax side. Capital gains treatment differs by jurisdiction and holding period. Some regions favor physical ownership, others penalize it. Your strategy needs to account for this.
Liquidity matters too. Can you exit quickly if markets shift? Physical gold locks you in. Derivatives offer instant exits but with counterparty risk.
So before jumping in—map your actual costs, your local tax framework, and your exit timeline. The best hold isn't just about price movement; it's about net returns after friction.