Hello Everyone

[ppnewbie]

I am semi new to the PP. I am sure this topic has come up many times before but I'll ask it again and then do another search to see if it comes up on the message board. Can someone point me to the best place to purchase physically allocated gold with preferably the ability to store the gold in another country as well as the US.

I have researched goldmoney.com, bullionvault.com, phys, and the physicalgoldfund.com. Physical Gold Fund seems to be the highest standard but the fee is $1500 to start plus %0.75 percent yearly on 100k. I am weary of dumping a big dollar numbers into new companies. I am weary of GLD and IAU or any other fund because they are basically unallocated / semi allocated pegs to the price of gold (from my newbie understanding). I want allocated gold in my name and like I said would like it stored in another country. Also I heard that trying to get delivery from PHYS is not so great.

Finally, can I get a recommendation on private vaults and how to engage them. Another strategy I may take is to store physical bullion in a vault but I want it to be free of bank failure risk (for the US).

Also for a fantastic podcast with mind blowing information check out The Gold Chronicles with Jim Rickards, hedgeye youtube channel, and Real Vision youtube channel. - PS. I am going to read Craig Rowland's books soon.

[Xan]

Welcome!

For allocated gold in a foreign country, the consensus around here seems to be that the Perth Mint is hard to beat.

[ochotona]

Some of us use GoldStar Trust Co in Canyon, TX. Their annual IRA fees are cheap... $175 annually covers up to $100k for gold which is allocated and kept in non-bank storage (but in the USA). Roth or Traditional.

I have an insured safe deposit box in a rural Texas bank and I'm a first name basis with the staff. I'm not too worried about being able to get to my box in an emergency. Also cheap.

I might do Perth certificates someday. No pressure to, though.

[Xan]

Ocho, can you give any more details about your insurance? Who's it with? What's the cost schedule?

[ppnewbie]

Thanks alot for the info.

So for Perth Mint is there any general consensus on which is best: the online depository, depository program (offline by phone), or the certificate program? And finally what do people think about Perth Mints ETF AAAU vs the depositories? (I know I am asking alot of questions!) Oh and one more. Does buying and holding gold at the Perth Mint or buying AAAU trigger FATCA reporting requirements?

I'll also check out the canyon trust company as well as the Texas Bullion Depository.

[ochotona]

Ocho, can you give any more details about your insurance? Who's it with? What's the cost schedule?

https://safedepositboxinsurance.com/

[Hal]

Thanks alot for the info.

So for Perth Mint is there any general consensus on which is best: the online depository, depository program (offline by phone), or the certificate program? And finally what do people think about Perth Mints ETF AAAU vs the depositories? (I know I am asking alot of questions!) Oh and one more. Does buying and holding gold at the Perth Mint or buying AAAU trigger FATCA reporting requirements?

I'll also check out the canyon trust company as well as the Texas Bullion Depository.

The method I use is the Depository Program (via phone). No issues with people hacking into accounts, statements are mailed. Also, although it was not planned, you can tell the demand by the number of phones ringing in their call centre. Sometimes you can hear its dead silent

Also, tried out their delivery service, and yes, everything worked as promised.

[ppnewbie]

Thanks for the info Hal. And the info about the deposit insurance was also very helpful. Been reading through the faqs and forums and I now see I’m questions we’ll covered in this forum. Going to scour the forum and read Craig’s book.

Thanks!

[boglerdude]

Im deciding betwixt Perth online depository (1% buy/sell fee) and their ETF. I think you have to tell the IRS about amounts over 10k

Rickards and RealVision gets $ from gold sellers so be aware they wont give balanced opinions

[ppnewbie]

Im deciding betwixt Perth online depository (1% buy/sell fee) and their ETF. I think you have to tell the IRS about amounts over 10k

Rickards and RealVision gets $ from gold sellers so be aware they wont give balanced opinions

Thanks 1 percent buy / sell seems reasonable (from my small sample size of experience for physical gold because it seems like american eagles go for around 4.5ish percent over spot. But I could see how this could take a chunk out of returns when rebalancing. Thanks I know that Jim Rickards is associated with the physical gold fund but did not know that about Real Vision.

Anyway thanks for the info.

[Kbg]

You are incorrect on gold ETFs (or the vast majority of ETFs for that matter). ETFs have a feature that allows very large investors to create and destroy shares in exchange for the underlying. So if their price disconnects substantially from the underlying they can exercise this option and pocket the difference. This is known as arbitrage and is a major reason why ETFs have been successful and ETNs have not been. Certainly cost can dislocate for a period of time, but it doesn’t last long.

Normally Gold ETFs sell at a very slight premium to physical due to storage costs and a large investor is unlikely to take physical unless they think the delta is sufficient such that they could take, transfer, store and resell cheaper than the ETF (who normally farms their physical handling out to someone who can do it at large scale very cheaply.) If you enjoy diving into the weeds of a full prospectus you can read up how it will occur for the specific ETF...hmmm seems like a bullion vault for the big guys. More later on vaults.

The big boys and girls have billions of dollars in technology looking for significant price discrepancies...if you can find one it’s literally free profit and hence why they do not last long.

Also...don’t forget record keeping is recording keeping. If the gold is not in your physical possession then you are taking a leap of faith the records are honest and good. I see no reason why any of the bullion vaults’ records are any better than say Blackrock/iShares...in fact if someone had a gun to my head and told me I had to chose the most accurate or die, I’m going with iShares.

I understand and agree with those who advocate for physical holdings and the reasons stated. The in between approach of a bullion vault, totally don’t get it (unless cheaper than a gold ETF). In general, there is no substantive real difference except they cost a lot more. (If I’m wrong on costs, then I’m wrong. Someone feel free to correct the record. It’s been 4 years since I looked into this.)