Opening Up Gold’s Distribution Channels

Nick from Sharelynx forwarded two announcements to me today, one on Sprott’s new Silver fund and Japan’s first precious metal ETF (actually four of them) where the metal is stored in Japan. The Mitsubishi series name is “Fruit of Gold”, gotta love that.

I have been tracking all of these ETFs as well as . . . → Read More: Opening Up Gold’s Distribution Channels

GLD Contango Strategy, or Not?

A reader asked me to comment on A GLD contango strategy by Izabella Kaminska. It talks about Paulson & Co earning a return on its $3.4bn woth of GLD shares.

Holding GLD, meanwhile, is cheaper and more cost efficient than buying bullion outright.

I would note that most gold ETFs have management fees around . . . → Read More: GLD Contango Strategy, or Not?

Why has the WGC bought into BullionVault?

On Monday the World Gold Council (WGC) announced that it and Augmentum Capital had completed a £12.5 million funding round in BullionVault in exchange for an equity interest.

It is an interesting development in their strategy. Until 2002, the WGC strategy was to support those selling gold. The 12 August 2002 announcement by WGC . . . → Read More: Why has the WGC bought into BullionVault?

SLV and Jeff Nielson

On Sep 17 Jeff Nielson posted an article on SLV. I took issue with his belief that ETFs’ management fees were unrealistically cheap and thus another indicator they were a scam. Below is the exchange between Jeff and I on the matter.

Bron: You say “custodians of the vast majority of all the world’s . . . → Read More: SLV and Jeff Nielson

Silver ETF League Table

Further to my post on Gold ETFs, below are the figures for silver. ETF/Custodial Facility Silver Ounces as at July 2009 % share of Total Privately Held ishares 283,831,312 20.3% Central Fund/Trust of Canada 59,648,793 4.3% Zurcher Kantonalbank 52,343,842 3.7% ETF Securities 19,133,459 1.4% GoldMoney 16,234,617 1.2% Bullion Management Group 5,444,685 0.4% Claymore 2,235,000 . . . → Read More: Silver ETF League Table

Gold ETF League Table

With gold looking to attack the USD 1000 level, it is fitting to review the new kid on the gold block – securitised bullion – that many say has been a contributor to gold’s resurgence. I say “new kid on the block” because gold ETFs are only seven years old whereas people have been . . . → Read More: Gold ETF League Table

Multiple Anomalies Detected In Silver ETFs

Tyler Durden of Zero Hedge has posted an analysis of SLV’s bar list by “Project Mayhem Research” (PMR for short) that concludes:

During our research into the inventory lists of the iShares SLV and London-based ETFS physical silver funds, we discovered multiple anomalies which cannot be easily dismissed. These included the presence of internal . . . → Read More: Multiple Anomalies Detected In Silver ETFs

Another Problem With The GLD ETF

In December I published A Problem With GLD and SLV ETFs where I briefly perused the GLD prospectus.  It concluded, “For these reasons including (1) the quality of the gold is at issue, (2) no audit of the physical metal is permitted, (3) counter-party risk impregnates the investment vehicle and (4) there are strong conflicts of . . . → Read More: Another Problem With The GLD ETF