Gold Investment Intelligence — Business Model Analysis
Gold
Scenario
Simulator
Bull / Base / Bear projections across PAXG, XAU₮, GLD, IAU, and Physical Gold. Friction-adjusted portfolio values at RM10k · RM50k · RM100k investment sizes.
Projected values are friction-adjusted estimates. Not financial advice.
All Scenarios — P&L Comparison
| Instrument | Bear P&L (−10%) | Base P&L (+10%) | Bull P&L (+20%) | Round-Trip Friction |
|---|
Cost Friction Analysis
Key Assumptions
Bear scenarioGold −10%
Base scenarioGold +10%
Bull scenarioGold +20%
PAXG/XAU₮ friction1.00% round-trip
GLD friction0.60% (0.40% ER + 0.20%)
IAU friction0.45% (0.25% ER + 0.20%)
Physical gold friction6.00% round-trip (est.)
01
Lowest Holding Cost
IAU carries a 0.25% expense ratio, the lowest among paper instruments in this model.
Combined with minimal trading friction, it consistently delivers the best net return
per scenario compared to GLD, physical, or tokenized alternatives.
02
Crypto-Native Portability
PAXG and XAU₮ offer 24/7 liquidity, DeFi collateral use, and on-chain transferability.
Paxos highlights redeemability; Tether Gold charges no custody fee with a 25bps
direct redemption fee. Suited for treasury or cross-border utility.
03
Physical — Control vs Cost
Physical gold wins on sovereign-grade ownership, but its ~6% round-trip estimate
(dealer premium, storage, resale) makes it the weakest short-term performer.
Best positioned as a long-horizon, low-liquidity-need store of value.