Should I Buy Gold ETF's or Physical Gold Coins?

According to Forbes, the key advantage of buying physical gold (such as bars and coins) is that you own the gold. Furthermore, you own an asset that can be stored outside the financial system, which reduces counterparty risk.

Counterparty risk is the risk that the other party in an agreement will default or fail to live up to its obligations. When investors buy gold ETFs, they are relying on financial institutions to deliver on their obligations.