Why invest in physical gold?

Top 10 Reasons to Invest in Physical Gold

10) Gold has always been, and will always be, the most legendary precious metal in the world.
9) Gold will always be in demand, and demand is increasing.
8) Gold is an inflation-proof investment.
7) Unlike paper currency, stocks and bonds, gold will never loses its intrinsic value.
6) Gold maintains its value through political and social upheavals, wars, and natural disasters.
5) A tangible and liquid asset, gold is the only truly international currency.
4) The current U.S. debt and trade crisis will continue to push gold prices up.
3) Physical (allocated) gold is the most secure way to invest in gold.
2) Gold should be part of every optimally diversified portfolio.
1) No other investment has the wealth preserving power of gold!



Reliability Of Gold And Silver As Currency 

Gold and silver are the most stable currency the world has ever seen.

From the beginning of Islam until today, the value of the Islamic bimetallic currency has remained surprisingly stable in relation to basic consumable goods:

A chicken at the time of the Prophet, salla'llahu alaihi wa sallam, cost one dirham; today, 1,400 years later, a chicken costs approximately one dirham.

In 1,400 years inflation is zero.

Could we say the same about the dollar or any other national currency in the last 25 years?

In the long term the bimetallic currency has proved to be the most stable currency. It has survived, despite all the attempts by governments to transform it into a symbolic currency by imposing a nominal value different from its weight.

Reliability

Gold cannot be inflated by printing more of it; it cannot be devalued by government decree, and unlike national currencies it is an asset which does not depend upon anybody's promise to pay.

Portability and anonymity of gold are both important, but the most significant fact is that gold is an asset that is no-one else's liability.

All forms of paper assets: bonds, shares, and even bank deposits, are promises to repay money borrowed. Their value is dependent upon the investor's belief that the promise will be fulfilled. As junk bonds and the Mexican peso have illustrated, a questionable promise soon loses value.

Gold is not like this. A piece of gold is independent of the financial system, and its worth is underwritten by 5,000 years of human experience.