The business of storing gold

The business of storing gold

A precious metals exchange has just been set up in Singapore by a Malaysian to help gold, silver and platinum bullion collectors not only to store their hoard but also to buy and sell such physical assets quickly and discreetly.

KEEPING gold bars and other precious items has reached a new level of sophistication in this region, with the launch of a storage facility in Singapore that offers clients anonymity as well as speedy transactions.

“The minimum deposit value in this bonded warehouse set-up is only US$1mil,” said Singapore Precious Metals Exchange Pte Ltd (SGPMX) founder and chief executive officer Victor Foo, 42.

“Of course, our clientele has much more than that to deposit,” added the Malaysian entrepreneur in an exclusive interview with The Star.

“SGPMX is located in The Singapore FreePort a super-secure facility and next to Changi International Airport. Within a free trade zone, the facility is dedicated to the storage and trade of precious metals, gems, artwork and other valuables.”

Moving 100kg of gold from your house to KLIA is no laughing matter, said Foo.

“To clear a consignment at KLIA takes at least 45 minutes. But at Changi Airport, it takes only three minutes,” explained Foo, who has been involved in the insurance industry since 1991.

His financial planning services include gold bullion investments.

“If you are a high nett worth individual, you wouldn't want to expose yourself and you don't want your name to appear in the export papers.”

But the facility is a not a free-wheeling set-up as Foo is fully aware of the stringent regulations imposed by government authorities.

“We are not going to be laundering any blood money. Otherwise, the Singapore authorities will close us down,” he assured.

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