Bank deposits as a means of capital investment.
Bank deposits are considered a traditional means of investing and increasing capital in Russia. But this is for those who do not understand investments and trading at all, and in general are far from the topic of finance, in principle. Few people know that rates on bank deposits never bring profit more than inflation "eats". Simply put, to which bank and at what percentage you would not bring and give your money, even if the offered interest seems tempting, you still will not earn. At best, you will simply reduce the destructive effects of inflation and keep the purchasing power of the capital originally invested at the same level.
Why might a gold ETF be more interesting?
Surely any investor who considers gold as a potential investment wants to buy physical gold. A full-fledged, albeit small, bar of gold, which you can at any time get out of the safe, take it in your hands and admire. Feel like the owner of this gold bar. However, buying real gold has significant drawbacks. When buying bank gold, you need to immediately pay VAT, and this is already about 20%, plus, you will also sell your gold to the bank, and the price spread (the difference between the purchase price and the sale price), which is in each bank, will also take away from you part of the profitability. Therefore, it is worth considering such an alternative as an ETF for gold, the shares of such funds can be bought through any broker except forex brokers.
Disadvantages of physical gold.
Physical gold must be carefully stored. When buying gold in a bank, you are sold a bar indicating the sample of gold, the marking of the bank and other data minted directly on the bar. Naturally, gold bars are very susceptible to scratches, which, when sold, will significantly reduce its value, so bankers warn warnly pack the bars sold in bank sealing. Storing physical gold can be simply dangerous, especially if you have purchased a few bars or simply own a serious mass of real gold. Unfortunately, it is not uncommon for bank employees to violate labor regulations and transfer personal information of customers to third parties. Confirmation is the regular leakage of personal data of bank customers, as well as leaks of telephone databases. All this creates a real danger of storing physical gold at home or in the office, since there will always be those who want to profit at the expense of others.