[Ronin]

I think I am looking at it from a different angle than you.

My thought was that the purpose of buying gold was to have something of tangible value that would retain value even if the world goes to crap around you. In that case, only the actual metal is going to be worth anything.

I guess if you are looking at it as a regular investment... something to make money on or at least hold value as long as the system stays intact, a bearer bond type paper is good enough.

[Yo-Yo]

My thought was that the purpose of buying gold was to have something of tangible value that would retain value even if the world goes to crap around you. In that case, only the actual metal is going to be worth anything.

If the world goes that far into crap, then bits of shiny metal won't be of value. Canned food, seeds, ammunition, bottled water, fuel, and weapons will be of value. You'd be better off laying in a supply of cheap Hi-Point 9mm handguns ($165 suggested retail) and 9mm ammo (<$12/50rds) for trading purposes.

Physical gold will protect you from a shady hedge fund that goes under because they sold too many paper certificates. Buying S&P GLD SPDRs is, IMHO, not the same thing.

What happens to these hoards of physical gold if a future US Government pulls a "Roosvelt II" and bans private ownership of bullion, and forces government purchase at a fixed paper dollar rate?