The arguments for holding a percentage of your wealth in gold and or silver bullion are well understood. Many savvy, wealthy investors will have a percentage of their wealth in bullion.
They hold it for the long haul, progressively adding to it over time. These individuals are less interested in trading bullion as the price goes up or down. They use it as a long term hedge against inflation. History shows that bullion holds its value over time.
Bullion also provides the investor with an asset that runs counter cyclical to many other investment categories. But most of all bullion has proven throughout history to be the currency that is globally tradable when financial systems fail. Bullion is an insurance policy.
Over the years, we've seen how governments respond when plagued with excessive debt. So, as various countries financial systems are coming under pressure, not only are more investors buying bullion, but many are now storing some of that bullion off-shore in safety deposit boxes in privately owned vaults.
It is prudent to have some of your bullion holding close at hand in case of emergency, so you can access it quickly. However more savvy investors are now taking a significant portion of their bullion holdings and storing it in safe countries like New Zealand.