So you thought your Gold is safe?

The growing interest in gold as a safe haven in a time characterised by growing attacks on private savers leads many to seek refuge in the ultimate store of value. But beware! Gold that is stored in a bank vault you are not allowed to access by government decree or because the bank has gone bankrupt is of little use - and that would happen at exactly the moment when you would need it most to tide you over some difficult times. The same can be said for the fashionable ETF's that are being created by financial alchemists at a rapid clip as they ultimately are nothing but electronic impulses residing in some remote computer (and we don't even consider the risk of cyber terrorism or war). We think that Gold is best held in the shape of small denomination gold coins. When the going gets tough and you would like to buy some food or bribe your way to freedom a regular 400 oz gold bar would be of little use. Much better to stash away half ounce or one ounce Krugerrands or even the now quite popular mini bars that may be even more fungible.