BullionVault
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| Founded | 2005 |
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| Headquarters | London, United Kingdom |
| Website | www.bullionvault.com |
BullionVault is an internet gold and silver bullion exchange formed in 2005. Their headquarters are in London, United Kingdom.
History
Founded by Paul Tustain in 2005,[1] BullionVault is the sole operating business of Galmarley Ltd. On 17th June 2010 the World Gold Council and Augmentum Capital each bought an 11.4% equity stake, investing a total of £12.5m (US$18.8m). Augmentum's first fund, Augmentum I LP, is backed solely by RIT Capital Partners, the FTSE-listed investment trust in which Lord Rothschild and the Rothschild family are substantial investors.[2]
As of April 2013, BullionVault held over 33 tonnes of gold (in excess of 1 million troy ounces) and 380 tonnes of silver in storage, [3] meaning that BullionVault stores more gold than is in the central bank reserves of many countries.[4]
Exchange process
Clients of BullionVault hold their gold and silver in vaults controlled by BullionVault, thereby creating a legal bailment.[5] Purchased gold and silver is held in allocated storage (with Via Mat International or with The Brink's Company) in either Zurich, London, New York or Singapore depending on the client's preference.
BullionVault's market order board enables users to buy and sell their gold at prices set by them, ensuring an open and competitive market. To prevent money laundering new clients are asked to provide proof of identity and address, and are required to nominate a single bank account for paying into and out of their BullionVault account. Unlike digital gold currency, BullionVault do not allow the direct transfer of gold units between user accounts. Users, however, may sell and buy gold from each other via the exchange facility. BullionVault undertakes a daily audit to reconcile every client's holdings against the latest bar lists and bank statements.[6]
Daily price
In March 2013, BullionVault added an option to buy and sell vaulted gold (or silver) at a daily price equivalent to that set independently at the London gold fix (or at the London silver fix). This is offered on the website along with the BullionVault markets’ live order board but providing a simpler option to buy and sell.
BullionVault also launched an Automatic Gold Investment Plan which allows users to buy gold regularly in the Zurich vault at this daily price without having to manage placing of orders themselves. Users set up a regular bank payment to their BullionVault account and once the funds are credited BullionVault uses them to purchase gold at the daily price.
Retirement planning
In the UK, it is possible to hold and operate a BullionVault account within a Self-Invested Personal Pension (SIPP) through a range of providers. Similarly, in the USA, it is possible to hold and operate a BullionVault account within an Inidividual Retirement Account (IRA).
Regulations mean that only gold can be held in a UK SIPP, whereas both gold and silver may be held in a US IRA.
Awards
In 2013, BullionVault was one of the winners of The Queen's Award for Enterprise: International Trade.
In 2012, BullionVault was ranked #11 in the Sunday Times Top Track 250 which ranks Britain's top 250 mid-market private companies by their turnover over the previous year. [7]
In 2009, BullionVault was one of the winners of The Queen's Award for Enterprise: Innovation (Technology) (2009).
References
- ^ IX Investor Presentation
- ^ Lord Rothschild fund joins World Gold Council to put £12.5m into BullionVaultThe Telegraph, By Garry White, 11:26PM BST 20 Jun 2010
- ^ Daily Audit - Allocated Gold Bar Lists And Bank Statements - BullionVault.com
- ^ Official World Gold Reserves World Gold Council website
- ^ BullionVault Will Expand Services to Silver Bloomberg
- ^ Albert Goodman Auditor's Procedures
- ^ The Sunday Times Top Track 250
External links
- BullionVault, official website.
- Trustable Gold, Comparison of prices and ratings for vaulted gold from different providers at Trustable Gold.
- PM: Bullionvault,GM,AFE, Comparative review at Political Metals.
- gold bailment calculator, inBullion Gold calculator.
- Head of Research explains BullionVault's services, Review of BullionVault plus interview with Head of Research Adrian Ash regarding BullionVault's services.
