by Peter Schiff, Schiff Gold:

The most direct way to invest in gold is to buy gold and as SchiffGold advises the smart way to buy gold is to buy gold coins or billions. Sometimes investors bullish on the long-term prospects of gold take a look at the stocks of gold mining companies. Stocks of course lack some of the most attractive features of gold such as physical portability, and its finite amount (stocks always be diluted). Plus, mining companies can go bankrupt and are at greater risk from new regulations.