With interest in Gold about to be re-ignited with a breakout imminent; a word of caution:
If you are investing in gold, obviously you want the price to rise. Buying "Unallocated" Gold can work against you. Although it seems to be the cheapest way to get exposure to the metal, this is the gold that is lent out and used to short the gold market. DON'T support this activity. You are just an unsecured creditor - if the fund/bank holding it goes bust, you do your dough.
Only buy physical gold or "Allocated" gold as this belongs to you and is not lent to the "shorts". The purchase of physical gold and "Allocated" gold is discourgaed by a wide spread between the buy and sell prices of up to 5%. A good way around this is to buy the ASX listed "GOLD" Gold Bullion Securities which is Allocated gold and supported by the World Gold Council whose mission is the promotion of gold and the appreciation of its price.
Let's see the "shorts" get squeezed! We will then see a bull rush like you have never seen.
