What is the difference between paper gold and gold ETF

If there is any investment project that is more popular in the investment market, it must be gold. In gold investment, paper gold and gold etf two investment forms firmly occupy the top of the investor choice.

What is the difference between paper gold and gold etf, and what kind of investors are they suitable for? Gooe Gold editors will answer what is the difference between paper gold and gold etf, so that investors can more clearly choose their own Need to choose.

What is paper gold?

Paper gold is a personal certificate type gold investment transaction, and it is a trading investment product. According to the gold quotation, investors use the form of bookkeeping to carry out virtual gold investment transactions on the account, and earn the fluctuation difference of the gold price through low entry and high entry.

What is gold etf?

Is the abbreviation of the International Gold Exchange Fund. From a literal understanding, it is not difficult to see that the essence of gold etf is a fund-style gold trading form. Gold etf is a financial derivative product that uses gold as its underlying asset and fluctuates following fluctuations in spot gold prices.

Gold etf is different from two-way trading, and it can only profit when the price of gold is bullish. This is also similar to stock trading.

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The difference between paper gold and gold etf

The two are both gold transactions, and there are great similarities. At the same time, there are also large differences between the two. In addition to the differences in the attributes of the two introduced by Elan Financial Editor, there are also Differences in rules and operations.

Investment threshold

Gold etf is calculated based on fund shares. Each share of gold etf in the international market represents 0.1 ounces, which is about 3.1 grams, which is about 1023 yuan in RMB. Some bank paper gold can be invested in 1 gram, which is equivalent to RMB 330, so the investment threshold for paper gold is lower.

  toll

There is a considerable difference in fees between the two. The gold etf transaction is divided into two parts, one part is the transaction commission charged by the broker, generally 0.03% -0.08% in the investment.

Another part is the bid-ask spread between the buying price and selling price of gold etf products after entering the market, in addition to this, gold etf also collects gold storage fees. Paper gold involves a transaction fee of one-sided spread, which is generally set at a fixed fee of 0.4-0.5 yuan per gram, and there is no transaction storage fee.

Transaction channels

Paper gold is an over-the-counter transaction through banks, and gold etf is a transaction through securities companies or fund companies.

  transaction hour

Paper gold can be traded 24 hours, and gold etf is similar to stocks, only two fixed trading hours in the morning and afternoon every day.