Please contact me.I work with buyer, seller & legal mandate in any Gold deal that follow the Gold Procedure – INTERNATIONAL PRECIOUS METALS LEGISLATION (see underneath).
FACT
The amount of gold ever mined totals approximately 190,000 tonnes (the stock), annual production is about 2,900 tonnes (the flow). If you divide the stock by the flow you get a stock-to-flow ratio of 66 years. Silver meanwhile has a stock-to-flow ratio of ~22
Current offers
1) Goldbars in UBS Switzerland 12.5kg
2) From gold miner up to 1000kg per month
3) GOLD BULLION FORM : 12.5-KILO BARS OF GLD STANDARD FINENESS : 999.5% OR BETTER HALLMARK : JOHNSON MATTHEY ORIGIN : AUSTRALIA/CHILE /MALI DEPOSITORY : HONG-KONG/ SWITZERLAND/ SINGAPORE/CYPRUS/TURKEY LOCATION : HSBC BANK ACCREDITTED SECURITY WARE HOUSE DELIVERY : FOB /CIF BUYER’S DESIGNED PLACE CURRENCY : EURO/USD FIRST TRANCHE : 20MT WITH ROLLS AND EXTENSIONS. SUBSEQUENT TRANCHES : 50MT. DURATION : 12 MONTHS GOLD BULLION AGE : LESS THAN 5 YEARS
End buyer terms, we buy gold bars
Purity: 96% – 99.99% (22 carat – 24 carat)
Price: negotiable according to degree of purity
Quantity: 5 – 10 – 30 kg as sample, at the seller’s discretion, followed by 100 kg per month or more, depending on the seller’s possibilities.
Delivery: CIF Zurich/Switzerland. The seller or his representative can accompany the goods and witness until full payment by BWT (bank transfer).
Audit: The final audit is carried out by our bank in Zurich.
Payment: Within 3 working days, by BWT (bank transfer) to the seller’s bank account, after issuance of a satisfactory audit report from our bank in Zurich.
Seller’s obligation: export taxes, freight charges, insurance and all costs during export to the Buyer’s destination. In addition, the certification number must be proven.
Buyer’s obligation: All customs duties, customs clearance, value added tax, taxes at the airport of destination and security transports from the airport to our bank shall be borne by Buyer.
Summary: We do not travel to see gold or discuss about purchase contracts, our transactions are settled only through our bank.
We do not make any advance payment until the gold has been safely delivered to our bank and verified.
Extremely important
Please do not offer us gold if you want us to pay in advance for any reason or we should provide you with an MT103/23, MT760, MT799, SBLC or any other type of bank instrument. No guarantee is required as you are in control of your gold (the title of your gold is not transferred) until you are paid.
a) We have on file a detailed FCO (Full Corporate Offer) on the Owner’s (no Intermediaries or Mandates) letterhead
b) The metal exists (SKR – Safe Keeping Receipt and/or PoP – Proof of Product) and is available for sale. So, in order to confirm this, we need to receive an authenticated swift MT799 from the owner’s bank confirming that the bank or security company (like Brinks or G4S) are holding in their storage under the Owner’s name with full and clear title the XX MT of the metal. The swift should be sent only from the Owner’s bank to our bank
and
c) We also need to find out who the real Owner is (BRL-Bank Reference Letter), as most of the time we end up finding out that the gold belongs to either the late ex-President of Philippines Marcos, or the late former Shah of Iran, or the Royal Family of Thailand who are not allowed by law to export any gold, or the relatives of Kaddafi, or some other person or entity that are either terrorists (like Al Qaeda, etc.) or they are holding the gold illegally after stealing it from the government and they are not entitled to sell even one gram.
If we have verification from the Owner’s bank via swift that the gold exists and the Owner is a legal entity that is allowed to sell the gold, then and only then will we have a meeting with our Multi-Billion Dollar Gold Buyers and present them the swift, the FCO (Full Corporate Offer) with the Terms and Conditions, the SKR and/or PoP and the BRL, in order for the Prospect End Buyer to decide whether he wants to proceed further.
If the Buyer wants to proceed further, then we will immediately provide the Owner, again via a swift MT799 message, Proof of Funds (PoF) and a Bank Reference Letter (BRL) for the Buyer.
If the Owner finds it acceptable, then the Owner’s and Buyer’s Bank Bullion Officers with their lawyers can have a Table Top Meeting (TTM)
Offer
Gold Bullion in London
Commodity : Gold Bullion (Au Metal).
Quantity : 147 MT
Purity : 99.95% fineness or better.
Weight : 1 kg, 5 kg per bar.
Hallmark : Internationally Recognized Hallmark.(credit suisse)
Age : More than 5 years old.
Pricing : LBMA price, discount 10% gross and 7% net to buyer
Google drive link with some edited offers ask me on [email protected] for full info
Offer
Following hallmarks are available
@Boliden, Sweden FINE GOLD 999,9 100g
@Engelhard Industries, Canada FINE GOLD 999.9 5 TROY OUNCES
@Valcambi Suisse, Switzerland 1 kg gold 999.9
@Sumitomo, Japan 1 KG 999.9
@Heraeus, Germany Feingold 1000g 999.9
@H. Drufhout & Zoon, Netherlands 999 1000-GR
@US Assay Office New York, USA FINE 999.8
@Johnson Matthey, England 9999 LONDON 1 KILO
@The Perth Mint, Australia 9999 bar 1KG
@ In Hong Kong is also available 12.5 kg gold bars
@ All nine hallmarks available in Hong Kong HSBC main branch
Procedure:
@ The buyer selects the size of the agreement between 20-50 MT AU Bank bullion
@ The buyer send LOI and POF to an email and call to Solicitors & Notaries (TBA) who will handle all legal matters in Hong Kong
@ Parties sign NCNDA
@ The seller send FCO
@ The buyer check the gold in HSBC main branch in Hong Kong
@ Documentation:
– Certificate of weight and purity
– Packing list
– Commercial permit
– Taxation and customs clearance certificate
– Certificate of legal ownership
– Certificate of origin
– Official license
– Safe keeping receipt
– Seller’s certificate stating that the bullion is free and clear of all liens and encumbrances and freely tradable and exportable and of non-criminal origin
– Certified weight list and Assay describing each bar as follows:
1. Serial number as stamped on each bar
2. Raw weight as stamped on each bar
3. Total weight as stamped on each bar
4. Receipt of paid customs duties and taxes
5. All documentation required for export
@ Transactions is completed on a Bank-to-Bank basis
Everything starts from LOI and POF to Lawfirm of choice.
I am interested in Buying from Genuine Owners/Sellers (must be Mandate or Owner)
- Warehouse Receipts
- Certificate of Weight List describing each bar as follows:
- Serial Number as stamped on each bar Fineness as stamped on each bar
- Raw Weight as stamped on each bar Total Weight as stamped on each bar Receipt of Custom Duties and Taxes
- Packing list
Please send a signed confirmation that above is available
I am Official Mandate for the Buyer below
Please see attached (underneath) Bullion Exchange Procedures. My Buyer (name withohold), is Member of Allocation Bullion Exchange no ACN 149 681 489. All transactions go through him and Payments are from him to Owner/Seller.
This system is different from all other OFFERS you may have received. I receive approx 4/6 a week, as Mandate for(name withhold),, I personally “VET” all so called Offers. Most offers require Money/Bank Instruments up-front. As you will appreciate in all Commodity Transactions Product is Shown first, Confidentially, with our Inspection with Audit Check and then Payment. No Payments or Bank Guarantee first. (LMBA’s Procedures and or Recommendations). The company Inspectors cover all the Approved Vaulted Warehouses.
You will see on pages (underneath) that procedures normally work with Owner and Seller having Gold Bullion normally already in one of our Approved Vault Locations. My Exchange have Accounts in all of the mentioned Vault Warehouses, Brinks are coming on Board very soon. I require Weigh List for my Inspectors to visit and Purchase Invoice (details for invoice will be given at later stage). The Bullion is Authenticated and Payment is made on site, how simple is that. Account to Account within Vaulted Warehouse. If no Assay Reports are available then Product goes to one of our Approved Refinery’s as shown on Procedures page (underneath), for smelting and Assay Reports.
If you are in position to introduce Owner or Owners Mandate with certificate, I will introduce (name withhold), into Party to out line finer details to carry on with Transaction. On CC with yourself would be fine. The procedures are different from Template Type SCO’s and FCO’s, hence important Discussion take place between Owner/Seller and( name withhold), to formulate Contract between “Parties”. If Owner/Seller Genuinely want to sell, this System should suite them 120% as no expenses for transport, Custom clearances etc etc etc. If in Vaulted Warehouse in same Country Transaction can be conducted and Completed .
In last Transaction in Hong Kong, Owner transferred Bullion to our approved Vaulted Warehouse for the transaction.
You mentioned product coming to Europe, can you arrange product to Zurich and Delivered to Malca Amit, where we have Account to carry out transaction. (If product has Assay Reports and weigh List). If you are able to deliver to Zurich I will assist in logistics.
INTERNATIONAL PRECIOUS METALS LEGISLATION THE PATRIOT ACT I AND ACT II
REQUIREMENTS
The procedures listed here are specific as to what was issued by the FED and the World Gold Council on June
6th, as what are required by law now to be followed on all GLD AU transactions.
The specific guidelines as set forth by these two agencies exactly as required now to do AU transactions and are the only legal way of handle these transactions.
At the stage of Bank Officer to Bank Officer there are two ways it can be structured:
1. it can also be set up as a TTM at the bank if the seller and buyer wish, or
2. a ledger to ledger inter-bank contract transaction Bank Officer to Bank Officer.
NEW FED AND WORLD GOLD COUNCIL INTERNATIONAL PROCEDURE:
1. The Seller or his Mandate issues a full corporate offer. All AU metal offers must show the Seller’s coordinates clearly.
2. Only the seller or his legal mandates may issue an AU offer and if it is the mandate issuing it, it must
be accompanied by the letter evidencing the receipt of mandate authorization from the seller.
3. All offers received from non-authorized intermediaries will be automatically rejected.
4. The International Precious Metals Legislation does not allow buyers to first send a letter of Purchase
Intent (LOI) because it is considered soliciting and is strictly forbidden.
5. Seller or seller’s mandate must move first with an offer which should include metal license details and banking.
6. The Buyer/Buyer’s Mandate submits a Letter of Intent and/or RWA (Ready, Willing and Able) with full banking coordinates and permission to do a soft probe.
7. The Seller/Seller’s Mandate and Buyer/Buyer’s Mandate exchange signed and sealed contract with full banking coordinates.
8. Seller/Seller’s Mandate extends an invitation for the Buyer’s bullion officer to contact the Seller’s
Bullion officer.
9. The Buyer/Buyer’s Mandate accepts the invitation of the Seller’s bullion officer.
10. The Buyer’s bullion officer initiates the contact with the Seller’s bullion officer by KTT.
11. The Seller’s bullion officer will be instructed by the Seller to verify the AU metal, the quantity available, and to disclose any/all liens and encumbrances attached to the metal.
12. Upon receipt of the proof of existence of the Au metal and the certificate of authority to sell, the Buyer will instruct his bullion officer to confirm the availability of funds to be used as payment when the gold is delivered.
13. The Buyer and the Seller agree on a window time for exchange. The payment to the Seller will be
disbursed within 24 hours against the transfer of ownership of the metal. Commissions will be paid immediately and without delay to each appointed paymaster.
14. The paymaster will likewise pay to the intermediaries their earned commission. GOLD / AU TRANSACTION (SINCE 1/08/2006)
Under the new guidelines recently set forth by the Federal Reserve for GLD metal it is required by the bank officers to do standard FED compliance on the metal and the seller / beneficial owners of the metal on a bank to bank basis before any contracts can be signed.
Anything outside of a strict Swiss procedure of POP with Sellers client info sheet and passport is now ILLEGAL to even attempt to transact. The seller, if they are legitimate, must be ready willing and able to submit this information directly by SWIFT to the Buyers Bank Officer for standard
banking compliance under the new regulations.
Upon completion of this compliance the buyer’s bank officer will then respond with POF including the Buyers client info sheet and passport information for the seller’s bank officer to do their compliance as well.
PROCEDURE:
1. Seller sends Full Corporate Offer (FCO) to Buyer.
Offer will give the following information:
• The quantity of Gold for sale
• The form: 12.5 Kilo Bars (GLD) 5 years or less
• Fineness: 999.5% or better
• Hallmark: Johnson Matthey or some other known names
• Discount: Usually 6% Gross, 4% Net as a minimum
• Fees: Divided equally between Seller’s and Buyer’s Reps
The availability of the following documents will also be listed in the FCO:
1. Safe Keeping Receipt
2. Original Certificate of Deposit
3. Certificate of Origin
4. Certificate of Legal Ownership
5. Seller’s Certificate stating that the GLD are free and clear of all liens and encumbrances and freely tradable and exportable and of non-criminal origin
6. Certified Weight List and Assay describing each Bar as follows:
i. Serial Number as stamped on each Bar ii. Raw Weight as stamped on each Bar
iii. Total weight as stamped on each Bar
iv. Receipt of paid custom duties and taxes v. Export Permit(s)
2. Buyer answers FCO with a Full Corporate Positive Answer (RWA) or LOI and sends Fee Protection
Agreement with an unsigned Purchased Contract to Seller.
3. Seller completes and signs contract and returns it to Buyer.
4. Buyer signs contract and returns it to Seller. All above done electronically on the same day, if permitted by time zones.
5. Seller sends a copy to buyer of the Safe Keeping Receipt and a Letter to his banker or warehouse manager giving him instructions to allow buyer to verify the existence of the gold and the pertinent information on said gold. The reason behind this request is that any person buying any gold wants to see it and verify it before paying for it. Having verified existence of the gold, buyer gives seller a Bank Issued Proof of Funds.
6. Seller instructs his Bullion Officer to set a window time with Buyer’s Bullion Officer and meet in the
Bullion Depository to close the transaction
The gold must be in GLD system and the documentation must conform to LBMA standards. Timing for the total transaction from start to finish should be 48 to 72 hours.
TTM BULLION PROCEDURES & PROTOCOLS
1. Seller issues a signed and sealed Full Corporate Offer (FCO) together with copy of signatory authority and Passport.
2. Buyer issues Letter of Intent (LOI) together with copy of signatory authority and passport.
3. Seller’s Bank issues to Buyer Letter of Invitation to attend TTM at the Bank in relation to the referenced FCO and LOI, and/or –
4. Seller commences proceedings at TTM within the Bank by handing to Buyer’s representative a
document from his Bullion Bank, addressed to the Seller, stating the bank is ready to arrange and transact the contemplated business in the referenced Full FCO, together with Evidence of legal ownership of the specific Au metal parcel(s) on offer, the bank-recognized signatory authority to sell, current Assay Report, Safe Keeping Receipt, bank statement and/or other appropriate documentation to enable the Buyer to qualify the offer to sell the Au metal.
5. On successful verification of the documentation in clauses (4) above, Buyer delivers to Seller’s representative at the TTM a document from his Bullion Bank, addressed to the Buyer, stating the
bank is ready to arrange and transact the contemplated business referred to in this Full Corporate
Offer (FCO).
6. Seller issues to Buyer four fully completed signed Sale and Purchase Agreements; Buyer signs and returns two originals to the Seller, together with IMFPA and NCND to include all participants to the said transaction.
7. Buyer and Seller lodge contracts and related documents to their respective Bullion Banks for
verification and execution as per Swiss procedures.
8. Seller’s bank will KTT to Buyer’s bank confirming the existence and transferability of merchandise.
9. Buyer’s bank will respond by KTT confirming availability of payment.
10. Transaction is completed on a bank-to-bank basis. Regarding Fees:
In summary, the sell side commissions are determined by the seller, which relates to the seller’s parties – mandates, facilitators, intermediaries and the like.
Likewise, the buyer will determine who to pay for the buy side commissions.
Parties cannot sit on both sides; they either act 100% for the buyer or act 100% for the seller and have fiduciary obligations to each party, which carry legal obligations.
Major buyers that take in large amounts of gold tend to be central banks, large bullion banks and government treasuries.
When an offer is sent to the buyer, any part of the buy side that is closed to parties unknown to the buyer contravenes many laws and will depend on the specific buyer and specific jurisdiction.
In general, if a party insists on a commission and this party is unknown to the buyer and has not been appointed by the buyer to act for them, or does not have an arrangement with the buyer, etc, then the practice of many central banks and treasuries is immediate criminal prosecution of the party as they have no legal or other right to represent they act for the buyer and are entitled to commissions paid by the buyer.
If such behavior was engaged in, the buyer would immediately commence criminal prosecution against any such party purporting to represent them under many pieces of legislation on the charges of Bank Fraud, misleading and deceptive conduct, wire fraud, etc, etc, etc
It is possible to cite specific legislation, types of criminal charges and lengths of sentences involved. Any party claiming commissions from an unknown buyer, who has not specifically appointed them, should for their own sake, carefully reconsider their actions.
These notes have been provided by several long standing buyers for, amongst others: The Federal Reserve, Top Foundations, Her Majesty’s Treasury/Bank of England who regularly buy gold in large volumes.
Please do not send over any offers “Requiring” money or Bank Instruments up front.
Best Regards
Gold Procedure
INTERNATIONAL PRECIOUS METALS LEGISLATION
THE PATRIOT ACT I AND ACT II
REQUIREMENTS
The procedures listed here are specific as to what was issued by the FED and the World Gold Council on June
6th, as what are required by law now to be followed on all GLD AU transactions.
The specific guidelines as set forth by these two agencies exactly as required now to do AU transactions and are the only legal way of handle these transactions.
At the stage of Bank Officer to Bank Officer there are two ways it can be structured:
1. it can also be set up as a TTM at the bank if the seller and buyer wish, or
2. a ledger to ledger inter-bank contract transaction Bank Officer to Bank Officer.
NEW FED AND WORLD GOLD COUNCIL INTERNATIONAL PROCEDURE:
1. The Seller or his Mandate issues a full corporate offer. All AU metal offers must show the Seller’s coordinates clearly.
2. Only the seller or his legal mandates may issue an AU offer and if it is the mandate issuing it, it must
be accompanied by the letter evidencing the receipt of mandate authorization from the seller.
3. All offers received from non-authorized intermediaries will be automatically rejected.
4. The International Precious Metals Legislation does not allow buyers to first send a letter of Purchase
Intent (LOI) because it is considered soliciting and is strictly forbidden.
5. Seller or seller’s mandate must move first with an offer which should include metal license details and banking.
6. The Buyer/Buyer’s Mandate submits a Letter of Intent and/or RWA (Ready, Willing and Able) with full banking coordinates and permission to do a soft probe.
7. The Seller/Seller’s Mandate and Buyer/Buyer’s Mandate exchange signed and sealed contract with full banking coordinates.
8. Seller/Seller’s Mandate extends an invitation for the Buyer’s bullion officer to contact the Seller’s
Bullion officer.
9. The Buyer/Buyer’s Mandate accepts the invitation of the Seller’s bullion officer.
10. The Buyer’s bullion officer initiates the contact with the Seller’s bullion officer by KTT.
11. The Seller’s bullion officer will be instructed by the Seller to verify the AU metal, the quantity available, and to disclose any/all liens and encumbrances attached to the metal.
12. Upon receipt of the proof of existence of the Au metal and the certificate of authority to sell, the Buyer will instruct his bullion officer to confirm the availability of funds to be used as payment when the gold is delivered.
13. The Buyer and the Seller agree on a window time for exchange. The payment to the Seller will be
disbursed within 24 hours against the transfer of ownership of the metal. Commissions will be paid immediately and without delay to each appointed paymaster.
14. The paymaster will likewise pay to the intermediaries their earned commission. GOLD / AU TRANSACTION (SINCE 1/08/2006)
Under the new guidelines recently set forth by the Federal Reserve for GLD metal it is required by the bank officers to do standard FED compliance on the metal and the seller / beneficial owners of the metal on a bank to bank basis before any contracts can be signed.
Anything outside of a strict Swiss procedure of POP with Sellers client info sheet and passport is now ILLEGAL to even attempt to transact. The seller, if they are legitimate, must be ready willing and able to submit this information directly by SWIFT to the Buyers Bank Officer for standard
banking compliance under the new regulations.
Upon completion of this compliance the buyer’s bank officer will then respond with POF including the Buyers client info sheet and passport information for the seller’s bank officer to do their compliance as well.
PROCEDURE:
1. Seller sends Full Corporate Offer (FCO) to Buyer.
Offer will give the following information:
• The quantity of Gold for sale
• The form: 12.5 Kilo Bars (GLD) 5 years or less
• Fineness: 999.5% or better
• Hallmark: Johnson Matthey or some other known names
• Discount: Usually 6% Gross, 4% Net as a minimum
• Fees: Divided equally between Seller’s and Buyer’s Reps
The availability of the following documents will also be listed in the FCO:
1. Safe Keeping Receipt
2. Original Certificate of Deposit
3. Certificate of Origin
4. Certificate of Legal Ownership
5. Seller’s Certificate stating that the GLD are free and clear of all liens and encumbrances and freely tradable and exportable and of non-criminal origin
6. Certified Weight List and Assay describing each Bar as follows:
i. Serial Number as stamped on each Bar ii. Raw Weight as stamped on each Bar
iii. Total weight as stamped on each Bar
iv. Receipt of paid custom duties and taxes v. Export Permit(s)
2. Buyer answers FCO with a Full Corporate Positive Answer (RWA) or LOI and sends Fee Protection
Agreement with an unsigned Purchased Contract to Seller.
3. Seller completes and signs contract and returns it to Buyer.
4. Buyer signs contract and returns it to Seller. All above done electronically on the same day, if permitted by time zones.
5. Seller sends a copy to buyer of the Safe Keeping Receipt and a Letter to his banker or warehouse manager giving him instructions to allow buyer to verify the existence of the gold and the pertinent information on said gold. The reason behind this request is that any person buying any gold wants to see it and verify it before paying for it. Having verified existence of the gold, buyer gives seller a Bank Issued Proof of Funds.
6. Seller instructs his Bullion Officer to set a window time with Buyer’s Bullion Officer and meet in the
Bullion Depository to close the transaction
The gold must be in GLD system and the documentation must conform to LBMA standards. Timing for the total transaction from start to finish should be 48 to 72 hours.
TTM BULLION PROCEDURES & PROTOCOLS
1. Seller issues a signed and sealed Full Corporate Offer (FCO) together with copy of signatory authority and Passport.
2. Buyer issues Letter of Intent (LOI) together with copy of signatory authority and passport.
3. Seller’s Bank issues to Buyer Letter of Invitation to attend TTM at the Bank in relation to the referenced FCO and LOI, and/or –
4. Seller commences proceedings at TTM within the Bank by handing to Buyer’s representative a
document from his Bullion Bank, addressed to the Seller, stating the bank is ready to arrange and transact the contemplated business in the referenced Full FCO, together with Evidence of legal ownership of the specific Au metal parcel(s) on offer, the bank-recognized signatory authority to sell, current Assay Report, Safe Keeping Receipt, bank statement and/or other appropriate documentation to enable the Buyer to qualify the offer to sell the Au metal.
5. On successful verification of the documentation in clauses (4) above, Buyer delivers to Seller’s representative at the TTM a document from his Bullion Bank, addressed to the Buyer, stating the
bank is ready to arrange and transact the contemplated business referred to in this Full Corporate
Offer (FCO).
6. Seller issues to Buyer four fully completed signed Sale and Purchase Agreements; Buyer signs and returns two originals to the Seller, together with IMFPA and NCND to include all participants to the said transaction.
7. Buyer and Seller lodge contracts and related documents to their respective Bullion Banks for
verification and execution as per Swiss procedures.
8. Seller’s bank will KTT to Buyer’s bank confirming the existence and transferability of merchandise.
9. Buyer’s bank will respond by KTT confirming availability of payment.
10. Transaction is completed on a bank-to-bank basis. Regarding Fees:
In summary, the sell side commissions are determined by the seller, which relates to the seller’s parties – mandates, facilitators, intermediaries and the like.
Likewise, the buyer will determine who to pay for the buy side commissions.
Parties cannot sit on both sides; they either act 100% for the buyer or act 100% for the seller and have fiduciary obligations to each party, which carry legal obligations.
Major buyers that take in large amounts of gold tend to be central banks, large bullion banks and government treasuries.
When an offer is sent to the buyer, any part of the buy side that is closed to parties unknown to the buyer contravenes many laws and will depend on the specific buyer and specific jurisdiction.
In general, if a party insists on a commission and this party is unknown to the buyer and has not been appointed by the buyer to act for them, or does not have an arrangement with the buyer, etc, then the practice of many central banks and treasuries is immediate criminal prosecution of the party as they have no legal or other right to represent they act for the buyer and are entitled to commissions paid by the buyer.
If such behavior was engaged in, the buyer would immediately commence criminal prosecution against any such party purporting to represent them under many pieces of legislation on the charges of Bank Fraud, misleading and deceptive conduct, wire fraud, etc, etc, etc
It is possible to cite specific legislation, types of criminal charges and lengths of sentences involved. Any party claiming commissions from an unknown buyer, who has not specifically appointed them, should for their own sake, carefully reconsider their actions.
These notes have been provided by several long standing buyers for, amongst others: The Federal Reserve, Top Foundations, Her Majesty’s Treasury/Bank of England who regularly buy gold in large volumes.
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The Exchange is the world’s leading electronic institutional exchange for allocated physical precious metals. The
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accessibility globally.
Modernisation
The exchange introduces unprecedented efficiency, security, anonymity, confidence, cost-effectiveness and
accessibility into the physical precious metals industry through the pioneering electronic trading platform. Physical
precious metals are one of the very few standardised asset markets that has not gone electronic in the institutional
environment. With a primary objective of modernising the way this market works the exchange has brought the
institutional trade of physical precious metals into the electronic environment for the first time.
Streamlining Physical Trading Operations
How does the electronic Platform offer increased efficiency and improved profitability:
Increases trading opportunities for dealers and traders Decreases operating costs
Increases efficiency by eliminating the requirement to have phone broking or dealing desks
Increases members’ ability to expand revenues by offering:
— an expanded global target market
— the ability for the clients of a member to trade from the member’s white labelled platform 23 hours a day
Globalisation
The exchange has broken down barriers to entry to the major physical precious metals trading and liquidity centres
around the world. Interconnected and fungible trading hubs allow for electronic transfer of title and the ability to
arbitrage locational pricing differentials.
All 11 global trading hubs are interconnected and fungible with one another, allowing title to be electronically swapped
from one location to the next, drastically reducing the need to transport bullion around the world and providing an
efficient logistics solution.
The exchange breaks down the barriers to entry to the major physical precious metals trading & liquidity centres around
the world with a plug-and- play solution that incorporates real-time price discovery, clearing, storage and logistics in a
transparent electronic environment.
Locational pricing differentials are easily identifiable and can be immediately acted upon to lock in arbitrage profits.
A Universal Gold Price
Traditionally, price differentials per location can become extreme due the barriers to entry and lack of price discovery
mechanisms. Once our exchange hits a market infiltration tipping point, we envision that we will flatten the price of
physical precious metals around the world, as market participants will be able to identify and act on price dislocations.
Integration
The exchange solution incorporates the entire precious metals trading and investment process in one online
environment; offering unprecedented inclusiveness and connectivity to the wholesale market and providing a game-
changing, industry-first mine-to- market solution.
Our exchange integrates the physical bullion trade by offering a facility where precious metal producers can sell their
products into the wholesale market directly. The electronic platform provides a marketplace that directly connects the
world’s physical producers (Mining Producers) and the end consumers (Investors, Jewellers & Manufacturers), while at
the same time provides the opportunity to any type of broker to offer and promote our platform to their client base
through the exchanges white label solutions.
The Game-Changing Mine-to- Market Solution
The implications of offering a facility that faces the metal producers directly with consumers make the exchange
proposition a game-changer in the precious metals industry and provides the only true “Mine-to- Market” solution for
producers and end-users to make and take delivery directly from newly refined output or existing stock. The ability to
price, deliver and participate on a real-time, centrally-cleared and anonymous basis is the underlying force of change to
the existing status quo.
Comprehensive Storage Solutions
The Bullion Exchange offers comprehensive storage solutions with inventory management in multiple locations
worldwide with storage and logistics solutions being offered through third-party partnerships with world leading
secure logistics solutions providers: Malca-Amit, Armaguard and Loomis International.
Our vaulting providers are leading names in the logistical solutions industry who offer secure, efficient and reliable
services of the highest quality. Their modern infrastructure, cutting-edge security systems and comprehensive
insurance facilities ensure maximum security and minimum risk for the global storage of bullion.
Allocated Bullion Storage
Upon buying physical gold, silver or platinum through the exchange, a Trading Participant’s bullion will remain in the
Secure Storage Area of a given exchanges Vault and approved location; until a request is made for it to be transferred,
withdrawn or relocated to another location.
All bullion traded on the trading platform is stored on a legally Allocated and operationally Unsegregated basis, with
individual holdings allocated through a Holding Identification Number (HIN) system. Each HIN, which can be used to
identify a sub-account of a Member or a Private Client who has bought physical gold, silver or platinum through the
trading platform, holds direct full legal title to all bullion purchased.
For specific bullion products (1kg gold bar, 10oz gold bar and 100oz silver bar) legally Allocated and Operationally
Segregated storage is available through the use of an electronic Vault Warrant, which allocates a unique bar serial
number to the HIN against which the EVW is created.
Storage fees are calculated daily and invoiced monthly in arrears at agreed rates. Storage is only paid on the bullion that
is held by an investor at 5:00pm local time in each trading hub. Bullion that has not yet been delivered to the vault will
not accrue storage fees.
The trading platform takes care of all invoicing and storage management aspects. Full Members and other members of
the exchange are able to manage their end clients’ storage fees and generate comprehensive reporting on the holdings
under management through the platform.
Bullion Deposit & Delivery
The Exchange maintains a list of approved Liquidity Providers that are eligible to deposit bullion into the vault network.
The exchange only accepts bullion that fulfils the requirements of the relevant fixed weight contract and meets one of
the following conditions:
Delivered directly by a Good Delivery Refiner as listed in the exchange’s source list with a refiner certificate
Delivered directly by another exchange Vault together with a refiner or assayer certificate
Delivered directly by an exchange Approved Assayer along with an assayer certificate
Delivered directly to an Approved Location
Bullion is initially delivered to the Temporary Storage Area of an exchange Vault where it is inspected and systematically
verified and once deemed to be in accordance with the delivery request and supporting documents, and free from
damage and interference, the bullion is approved for transfer to the Secure Storage Area.
The exchange is able to arrange for bullion to be withdrawn from the exchanges Vault Network and delivered to an
approved location of the owner’s choosing.
To maintain the integrity of the exchange, only approved Members have permission to deliver bullion to the exchange
Vault Network for trading in the exchange. All deposits and withdrawals are conducted in accordance with the exchange
Quality Assurance Framework, and subject to the exchange independent audit and verification program.
Please find below the process for introducing external bullion that is not coming directly from a refinery:
1. Bullion deposited must be in accordance with the relevant GLD specifications.
2. Once ‘in principle’ agreement is given, chain of custody must be proved through purchase invoices, storage invoices,
3. Transportation to the vault should be arranged by the Seller, but if required we will take an active role in the delivery
4. On deposit, vault operator will issue a holding report.
5. Buyer reserves the right to have Inspectorate conduct an audit and/or a destructive assay of a sample of the metal at
the depositor’s expense.
6. The vault holdings report and the Inspectorate audit report will be reviewed to ensure that everything is in order.
7. Any vault operator charges relating to the deposit or the audit billed will be passed on to the Seller.
The first step to begin the process is to provide us with the full bullion weight inventory list as issued by the current
storage provider, detailing hallmark, bar weights, serial numbers etc.
LIST OF VAULT OPERATORS AND COUNTRIES OF THEIR LOCATION.
Country City Vault Provider Trading Currency Hub Ticker Code
Australia Brisbane Armaguard AUD BR
Australia Melbourne Armaguard AUD ME
Australia Perth Armaguard AUD PE
Australia Sydney Armaguard AUD SY
Australia Sydney Malca Amit USD SU
China Shanghai (FTZ) Malca Amit USD SH
Hong Kong Hong Kong Malca Amit USD HK
New Zealand Auckland Armaguard USD AK
Singapore Singapore Malca Amit USD SG
Switzerland Zurich Malca Amit USD ZR
Thailand Bangkok Malca Amit USD BK
Turkey Istanbul Loomis USD IT
United Arab Emirates Dubai Loomis USD DU
United Kingdom London Loomis USD LO
Inspection and Audit
The exchange has engaged industry specialists, Inspectorate and BDO, to provide inspection and audit services on all
bullion stored in the exchange Vault Network. The services include:
Weight reconciliation of all bullion stored in each vault location
Visual checks for bar number and brand purity
Verification that the bar number records are accurate
Weight checks on a random sample of metal bars
Calibration status checked for scales at each vault location
Visual inspection of coins
Full reporting of the findings of the inspections
Central Counterparty
The exchange operates as the Central Counterparty (CCP) to all trades, delivering financial and operational efficiencies
to market participants.
Settlement of Trades
Trade settlement and the corresponding transfer of bullion title occur immediately upon trade execution, with
remittance of any outstanding funds required at t+1.
Purchased bullion can be sold on the exchange immediately, while funds must be settled in full before bullion can be
No client funds are received directly by the exchange. Client funds are transferred to their Member, with the Full
Member settling the trade with the exchange. Any outbound payment of funds is also made from the Member to a
Prior to Membership being approved an applicant is screened for financial health and is required to undergo a credit
check, operational due diligence and make an initial guarantee fund deposit with the exchange. Members are
responsible for all positions that they carry.
Fees charged to Members vary by monthly trade volume and by metal stored at the exchange.
APPROVED REFINER LIST
Source Country Refinery Location Metal Hubs
Argor-Heraeus SA Switzerland Mendrisio AU, AG, PT All Hubs
Heraeus Ltd Hong
Heraeus Precious
Metals GmbH & Co. KG
Heraus Refinery SA
Johnson Matthey Inc. USA Salt Lake City AU, AG All Hubs*
Johnson Matthey Inc. USA West Deptford PT All Hubs*
Johnson Matthey Ltd. Canada Brampton AU, AG All Hubs*
Johnson Matthey Plc. United Kingdom Royston PT All Hubs*
Metalor Technologies
Metalor Technologies
Metalor USA Refining
NTR Metals USA Dallas AU, AG All Hubs*
Nyrstar Port Pirie Pty
Ohio Precious Metals USA Ohio AU, AG All Hubs*
Pamp SA Switzerland Castel San Pietro AU, AG, PT All Hubs
Rand Refinery (Pty) Ltd South Africa Germiston AU, AG All Hubs*
The Perth Mint Australia Newburn AU, AG All Hubs*
Valcambi SA Switzerland Balerna AU, AG, PT All Hubs
Solar Applied Materials
Emirate Gold DMCC UAE Dubai AU DU
Al Etihad Gold Refinery
Elemetal Refining USA Jackson AU, AG All Hubs*
*excluding Bangkok,
