Additionally, gold costs money to hold, store and sell (needs to be assayed plus there are commissions); these are costs that are generally not considered by buyers.
Most buyers don't consider those costs because to the vast majority buying bullion they don't apply. Most investors today who have larger positions in Gold use the GLD. They do have a small maintenace fee (.5% ?) that covers storage, insurance etc. It's pretty minor in either event compared to the tax for trading Gold Vs regular Cap gains tax.
