What's the best / cheapest way one can buy gold?There's a small, but real probability that within the next 30 years there can be a global or regional crisis, economic or political. World wars, depressions, hyperinflation, cold wars, ... These may seem to be a thing of the past and we are living some of the best times in history, but bad things can happen.So I think, maybe it's that bad to keep a small amount of assets (a few thousand dollars worth) in gold or silver at home in case of an absolute crisis. I do realize that in a real crisis liquidity and marketability might be real difficult and maybe not even worthwhile - one might be better off holding hard cash in various currencies. Such a small amount might not even be able to help in a real crisis.Can one just go down to the local federal reserve and buy gold coins? Tiffany's maybe? Just a thought.What do you all think?

simplest is to buy 1 oz coins, several dealers that quote for example Krugers just around gold spot.

Given the last few hundred years, I guess the chances of a serious screw up where things go bad in a western and stay that way for months or years is around 1/250.That's famines etc, being bombed is a different and rather large number.Gold assumes a market, but if there's no food ?Also have to factor in that in a breakdown, theft, often with violence is common. Gold may draw unwelcome attention to yourself.Your basket of caplets should include food. Rice is good, has very long shelf life. In famines, far more people die from malnutrition. vitamin deficiency etc than from gross lack of calories.Would invest in multi-vitamins.Water may also be an issue. You die quickly from lacks, and poor water kills millions even now. Water purification tablets worthwhile.Spices used to be a major trade item, quite literally worth their weight in gold. Also lightweight.If you're doing this seriously, take into account you may have to be mobile.Solar powered battery charger is good, and you can but a hand powered torch and radio for a few quid.

sidmlJust buy commodity indexes that replicate what you are looking for.They are very hype products. Just two new indexes have been launched by DB and UBS over the last Month.17:52 07Feb2006 UBS, Diapason to launch first biofuels index LONDON, Feb 7 (Reuters) - The first-ever biofuels index is to be launched by UBS AG <UBSN.VX> and Diapason Commodities Management to cover commodities used to produce ethanol and biodiesel, the companies said on Tuesday. The index will be launched in the weeks ahead, according to a statement issued by UBS and Diapason. A spokeswoman for UBS said she was unable to provide a clearer indication of the launch date. "Production of the two major forms of alternative fuel, ethanol and biodiesel, is increasing rapidly," the statement said, adding a growing number of countries were promoting the such fuels. The index will be published in the dollar, yen, Swiss franc and euro. Ethanol can be made from a range of commodities including sugar cane and maize and is used as a substitute for petroleum. Biodiesel can be made from vegetable oils or animal fat. ((Reporting by Nigel Hunt, editing by Bernard Halloran; email: nigel.hunt@reuters.com; RM: nigel.hunt.reuters.com@reuters.net; +44 (0)20 7542 8421) Tuesday, 07 February 2006 17:52:57RTRS [nL0710158 ] {C}ENDS21:46 17Jan2006 PRESS RELEASE: Deutsche Bank Launches First Commodity-Index-Linked Fund Traded on a US Securities Exchange<DB.N><DBKGn.DE>PRESS RELEASE: Deutsche Bank Launches First Commodity-Index-Linked Fund Traded ona US Securities Exchange<DB.N><DBKGn.DE>NEW YORK--(BUSINESS WIRE)--Jan. 17, 2006-- Deutsche Bank announced today the upcoming launch of the DB Commodity IndexTracking Fund (DBC) which will list on the American Stock Exchange (AMEX: DBC).DBC is the first commodity-index-linked fund to be listed on a U.S. stockexchange and will offer investors transparency and access to the Deutsche BankLiquid Commodity Index(TM) - Excess Return (DBLCI). DBC will be offered throughbroker-dealers and other authorized dealers at $25 per share during the initialoffering period which is expected to close this month. DBC returns are expected to track the performance of the DBLCI. The DBLCI is arules-based index, comprised of Crude Oil, Heating Oil, Gold, Aluminum, Corn andWheat. The DBLCI is calculated based on six liquid futures contracts on thecommodities comprising the Index. DBC also will generate interest on cashinvested in the tracking fund. The indicative value of the DBLCI and DBC will becalculated every 15 seconds and posted to the consolidated tape during the AMEXtrading hours. "DBC is designed for investors seeking portfolio diversification and exposure toglobal commodity returns, which have one of the lowest correlations to USequities and bonds," said Mark Ritter, Global Head of Commodities at DeutscheBank. "This platform will provide investors with systematic exposure to globalcommodities without the complication and difficulty of investing directly infutures contracts or in the commodities themselves." DBC is a commodity pool that is managed by DB Commodity Services LLC, a commoditypool operator registered with the Commodity Futures Trading Commission and thatis a member of the National Futures Association. About Deutsche Bank With Euro 972 billion in assets and 63,751 employees, Deutsche Bank (NYSE: DB)offers unparalleled financial services in 74 countries throughout the world.Deutsche Bank competes to be the leading global provider of financial solutionsfor demanding clients creating exceptional value for its shareholders and people. Deutsche Bank ranks among the global leaders in corporate banking and securities,transaction banking, asset management, and private wealth management, and has asignificant private and business banking franchise in Germany and other selectedcountries in Continental Europe. www.db.com Legal Notice: Investors should consult the DBC prospectus for more completeinformation concerning risks, charges and expenses associated with investing inDBC. The Fund may differ from other exchange traded investment funds in terms ofinvestment objectives, asset composition, risks, liquidity, charges and expenses,and other important terms. CONTACT: Deutsche Bank Media Relations: Michele Allison, 212-250-4864 SOURCE: Deutsche BankCopyright Business Wire 2006 (END) Dow Jones Newswires Tuesday, 17 January 2006 21:46:05DJN [nDJRH02C18] {C}ENDS

QuoteOriginally posted by: sidmlWhat's the best / cheapest way one can buy gold?There's a small, but real probability that within the next 30 years there can be a global or regional crisis, economic or political. World wars, depressions, hyperinflation, cold wars, ... These may seem to be a thing of the past and we are living some of the best times in history, but bad things can happen.So I think, maybe it's that bad to keep a small amount of assets (a few thousand dollars worth) in gold or silver at home in case of an absolute crisis. I do realize that in a real crisis liquidity and marketability might be real difficult and maybe not even worthwhile - one might be better off holding hard cash in various currencies. Such a small amount might not even be able to help in a real crisis.Can one just go down to the local federal reserve and buy gold coins? Tiffany's maybe? Just a thought.What do you all think?If you're buying it as "catastrophe" insurance then forget all these people telling you to buy various indexed commodity funds. They're missing the point!A friend of mine is of Indian extraction and he was obliged to buy a large chunk of gold when he got married. It's just seen as a traditional thing to do for Indian families. He got a good price by going to an area of London with a large Indian population (Southall) and negotiating long and hard with local jewellers. Of course this approach will not be to everyone's taste but you can get it pretty close to spot. Going to Tiffany's (or whatever) is stupid as there is a HUGE markup on jewellery over the intrinsic value. Seek out the smaller jewellers or jeweller suppliers in poor parts of town if you want to buy cheap gold.

The best way for gold is probably to buy 1oz gold bullion coins, particularly kruggerands, but you can also consider UK stuff (including sovereigns). You can buy this from online coin dealers fairly cheap, but i've bought some from eBay before and successfully traded spot movements with it, so it tracks pretty well.Silver is a bit trickier, since it will always trade well above spot. The best silver is made by australia and canada, and then UK, US silver is the worst at only 90% pure. You are talking about at leave 50% above spot though and thats a good deal. Probably best to avoid trading physical silver, unless you know more about the actual coins.

In the UK, be aware of the VAT issue for private holders of gold.

This is a good point I should have made. VAT only applies to new gold coins, or coins entering the country, second hand goods can be traded privately without this issue, hence eBay being a good place to pick them up cheap. It is interesting to wonder where the 17.5% disappears to with time, but it is definately true that gold privately trades much lower than spot + VAT. Of course if you are going to be buying douzens of ounces then things might get a bit different... I don't know if you start to hit rules about actively trading as opposed to just collecting...

why not just hold the gold ETF? same thing has holding the bullion performance.

What about Kitco pool accounts?

The ETF or a fully funded spread bet is the obvious way to do it, with the ETF being more comfortable for most.