Should I exchange ETFs for cold, hard gold?

[Jan Van]

Peoples, your advice please... 

In my taxable account I have some IAU and GLD, >$10k worth. Should I exchange this for the real deal? Sell the ETFs then buy some coins at some dealer? What do you say?

Jan

[surensteady]

Some think gold will take a hit this summer and it appears it has begun. $10 k will buy around 3.5 oz so there shouldn't be any problem in storing it. I have mine in a bank deposit box. It is safe unless there is another confiscation like what happened in the 30's.

Better real then etf's (counter party risk) that are backed by what, a promise to pay in the real gold.

Gold, some say, may fall to $1100 or so....then up it goes again because it will be the dollars time to fall...even harder but who knows.

My base is around $830 so if it does fall I'll back up the truck.

[MediumTex]

Definitely buy one coin.  Buy more if you like.  I am, however, a big believer in having at least some gold ETF exposure just for ease in rebalancing if needed.

Over time, I would aim to have a significant part of your gold in physical form.

The first coin is the hardest one to buy.  It's a lot of fun, though, once you get in the groove.

[AdamA]

Peoples, your advice please... 

In my taxable account I have some IAU and GLD, >$10k worth. Should I exchange this for the real deal? Sell the ETFs then buy some coins at some dealer? What do you say?

Jan

The fact that you have enough insecurity surrounding gold ETF's to be asking this question is enough reason to start buying gold coins.  Once you buy a few, it will actually be hard for you buy gold ETFs going forward. 

I don't think I'd sell the ETF's you already have.  Just try to buy 4-5 one oz American Eagles over the next year or two and see how you feel.

[Pkg Man]

Depends on how much you have in the PP. Like MT, I think some in an ETF is desirable. But most should be the real deal.

[Jan Van]

All of it is in ETFs, and most of that in a Roth IRA...

Thanks guys!

[buddtholomew]

I agree with the respondents so far, namely to hold physical gold to some degree. However; I would question your decision to execute this transaction at this time. Are you attempting to sell your IAU holding before we "inevitably" experience a downturn in gold and then buy the physical metal at a more attractive price? If this is your motive, question whether you can time both transactions so eloquently as to produce a gain. If not, then by all means move forward with the plan.

[melveyr]

Something i recently learned is that it is very difficult to hold physical gold under the IRA umbrella.

Doesn't change the fact that some physical gold is a good idea, but its something to keep in mind for your plan. The bright side is that gold doesn't throw off any taxable income.

It is probably the last asset I would add to my IRA, so its not all bad!

[Jan Van]

Bud I said! No, my intentions are to echange ETF Gold for Pure Goooollllddd! That's all. I have no idea where gold is going, up or down. I would guess up, but that's all it is, a guess...