Raja,
The absolute best is to hold it yourself. Kitco is most likely safe but I do not like others using my silver as collateral for their money games. In 1981 I had a storage account a a bank in LA. They allowed a program similar to Monex where you put up physical silver and they would loan you money to buy more at cost plus interest, a leverage game in other words. All is great if the market goes up if it goes down you had to put up more $$.
However the point is that one Saturday I read in the LA Times that this bank was having problems. I cashed out some other investments and I went to the bank with a certified check for the balance. I did wheel out 3000 ounces of JM bars with the guard and put it in my car.
I will never forget the look of the people in the bank, one commented that the whole time that they worked their they had never had anyone take delivery and he had actually never seen any silver before. I did get a peak at the vault and looked to me like not much was there compare to the amount of investment potential in Los Angeles. The banker kept insiting that I merely forget about that bulky silver and move to a CD.
This proves nothing to you, but to me it meant that some rather crazy games are played in the Precious metals. At the time I was advocating the same as Mr. Butler, if everyone that owned Precious Metals would simply take them, the dealers, holding companies, and banks might have a problem.
My father dealt with International Gold Bullion Exchange, what a nightmare, but that is another story.
FWIW, Take the best route, Kitco is probably excellent but nothing beats knowing you own what you paid for.
To be totally honest I do hold an e-gold account, but it is very minimal for internet transactions, it is not held by me, however it is a very small amount of money. |
