Why physical gold — and not a gold fund or ETF?

When interest in gold is sparked, many quickly run into two options: you can buy physical gold or invest in a gold fund. The difference sounds technical, but in practice it is significant.

A gold fund isn't gold

A gold ETF is a fund unit — in practice a debt instrument whose value tracks the price of gold. Gold futures, in turn, are derivative contracts. Both involve a counterparty that can fail to meet its obligations. With physical gold there is no such risk — Voima's customers own their gold outright, unlike with ETFs, where holders own shares in complex ownership structures rather than the physical gold itself.

Marko Viinikka, founder and CEO of Voima Gold, has illustrated the point simply:

"If an investor buys five kilograms of gold today and comes to collect it five years from now, the bars will still weigh five kilograms." The same cannot be said of fund units.

What depositing money in a bank really means

When you deposit money in a bank, you are effectively lending it to the bank — often without compensation. Physical gold held in your own name is a different matter: it is yours, not a promise made to you.

Gold has held its value — currencies haven't

Over the past 50 years, gold has risen by as much as 20 percent during periods of high inflation. All major currencies have lost more than 75 percent of their value against gold since 2000. Gold pays no dividends or interest — but it also doesn't disappear, get diluted, or depend on anyone's promises.

How it works in practice

You can buy physical investment gold directly from our online store — LBMA-accredited gold bars and coins. If you wish, your gold is stored securely in your own name in our vault located in Finland through the Voima Account. No intermediaries, no complex ownership structures.

Investment gold is VAT-exempt.