'paper gold challenge, page-31

timber

I will try and provide my views on paper gold and also fractional ownership as I see it. Keep in mind my knowledge is of course limited.

Paper gold is in my mind purchasing gold without ever looking to take purchase of the actual gold ie futures ETFs etc. My question is does the amount of paper gold exceed the actual gold were it theoretically be delivered. I assume this would refer to a fractional system.

I note that Sprott's ETF is very specific that this fund does not loan or sub-lease it's gold / silver. Do other funds, ETFs, holders of gold ie JP Morgan etc loan or sub-lease their gold out. If they do can the people that were leased or loaned the gold do the same?

From memory I think JP Morgan or some other organisation were sued because a client "bought" some gold which was then charged storage despite the fact the gold was never purchased or stored for this client. How often would issues like this occur?