Where we store gold

Where we store it

We have appointed Network Securities Limited in Guernsey as specialists in precious metal storage to provide safe custody for your bullion purchase. They have been established for 35 years and are registered with the local regulator. Bullion held in the vault is insured by Lloyds of London.

Network Securities is an independent, professional bullion vault operator selected by Guernsey-Gold to be the custodian of all bullion products. It is a private, family-owned company specialising in bullion storage situated in the Channel Islands. It offers state-of-the-art security facilities for clients such as International Banks, Trust Companies, Bullion Traders and Private Clients. Network Securities is part of the Network Group which was founded over 35 years ago to serve the Finance Industry and has built a reputation for stability and integrity.

Network Securities is a distinct and separate company to Guernsey-Gold with no ownership association whatsoever. Guernsey-Gold solely uses Network Securities vault for the safe storage of bullion and has no fee-sharing arrangements or hidden commissions. Gold sold by existing customers can be offered to new customers without having to undergo a ‘round-trip of costs’. These savings can be passed on by way of cheaper prices for both purchases and sales. Another good reason for us to offer storage is that it means we can guarantee the integrity of bullion as it has not passed out of the chain of professional dealers and suppliers. At the end of the first year we will send you an invoice for storage for the next 12 months. The fees are based on a sliding scale as per Network Securities' rates and vary from 1.5% for small bars down to 0.5% for substantial holdings.

Your invoice will be based on the gold price at the beginning of the period. If you sell your bullion before the end of year 2 we will refund the cost of any unused storage time pro rata. Guernsey-Gold pays for the storage facility in year 1 in the expectation of selling it in future on behalf of the customer, in which case there will be no release fees applied. However, if you wish to cease storage and have bullion delivered or if you personally collect it then there will be a release fee of £50 to do so plus any postage costs. If you refuse to pay for storage after year 1 then we will ask you to pay for its return or in cases of lengthy delay we will debit the equivalent value in gold pro rata based on the storage rates above.

Many on-line bullion dealers simply promote the upside of gold prices and do little to recommend profit-taking or selling. While there are excellent fundamental reasons to be positive on bullion this should not prevent prudent risk management to re-balance exposures or diversify elsewhere. By offering free storage initially then we are more likely to sell the gold and make a transaction fee later.

Why we store offshore

Gold investors’ tastes differ when it comes to storage. Some want the bullion to be in their hands while others are comfortable in storing it with a financial institution or specialist vault. The benefits are obvious as professional storage saves on insurance costs, reduces personal risk from theft and keeps the gold in an environment that makes it more attractive for re-sale. Guernsey has a legacy of low taxation thanks to the innovation of interest-free infrastructure development in the Victorian era. The prevention of debt accumulation historically and the development of banking in modernity have left the island's finances in a very healthy state. Customers should also consider the storage of silver and platinum in Guernsey which typically attracts VAT in other locations. Bar sizes and prices are available on request but logic suggests they should only be bought with a view to placement in storage in Guernsey rather than be exported.

Guernsey is proud of its strong stance against tax evasion and money laundering and any suspicion of the latter will over-ride confidentiality. Full details of Guernsey's robust stance against crime can be found on the web-site of the Guernsey Financial Services Commission. Nevertheless, legitimate customers have a right to privacy and to safeguard their wealth from inflation and the profligate policies of some governments. We will only disclose data when called on by the Royal Court of Guernsey or to assist the local Police with anti-money laundering investigations.
 

Why Guernsey Gold

Toby Birch is highly qualified with a career spanning more than 20 years in finance. He also has a depth of practical experience in dealing and investing in gold bullion and related financial instruments. This stems from his background working as an investment manager at a Swiss private bank and latterly as a commodity hedge fund manager. Toby is the founder of Guernsey Gold Limited (Guernsey-Gold) and was an early advocate of holding precious metals as a hedge against the modern-day debasement of the US dollar.

Guernsey-Gold was founded to provide physical gold bullion at the lowest price to the public. It also offers free storage for the first year at an independent vault specifically designed for precious metals. Investors can take delivery by insured post or come to Guernsey to view their bullion or collect it personally. The movement of bullion either way across Guernsey’s borders must be declared to Customs if in excess of €10,000

Guernsey-Gold offers a straightforward choice of gold bullion bars and coins. The bars come with a certificate issued by the refiner whereas the coins do not. The bullion is produced by Metalor who are refiners and Associate Members of the London Bullion Market Association. They are classed as having Good Delivery status. They have a minimum purity or fineness of 995 parts per 1,000 although the best will be marked with 999.9. The bars will also show a serial number which should match that on the certificate and an assay stamp from the refiner.

Guernsey is a highly regulated finance centre situated between Britain and France and operates on London time (GMT). In 2009 Guernsey was placed on the White List of jurisdictions by the OECD (Organisation for Economic Co-Operation and Development). As well as being independent the island is politically stable and boasts a highly developed financial services industry. Guernsey enjoys a very low crime rate and is a very secure place to store bullion. The Channel Islands also benefit by the absence of VAT on precious metals as well as the non-existence of inheritance or capital gains taxes.

Guernsey Gold Limited is a company incorporated in Guernsey on 24 July 2009 with a registered number 50667. We are registered with the Guernsey Financial Services Commission as a Non-Regulated Financial Services Business and can be found in their web-site

Insurance is provided by Rossborough Insurance services in Guernsey including Professional Indemnity, Directors & Officers Liability and insurance to transport bullion. Bullion is insured while being posted or couriered as part of the postal price.

The registered office is at Noble House, Les Baissieres, St. Peter Port, Guernsey, GY1 2UE. Office hours are from 0900 to 1700 GMT. Telephone calls will not be answered outside of these hours and quotes will not be provided outside of these times either. The telephone number is +44 (0)1481 736 328 or +44 (0)1481 740 335 and our e-mail addresses are toby@guernsey-gold.com or info@guernsey-gold.com

For further information on Guernsey’s Data Protection laws please see the States of Guernsey web-site: http://www.gov.gg/ccm/navigation/home-department/data-protection-commiss...

No precious metals will be held at the registered the office. The bullion is stored at an independent vault owned and managed independently by Network Securities. Investors not wishing to take advantage of the free storage can store their bullion directly with the storage company. This will require separate provision of due diligence directly with the storage company and minimum fees will apply.