Bloomberg reports tonight that UBS has launched a gold vaulting service in Singapore and will make its bullion vaulting services available for clients in Singapore and Hong Kong. UBS joins Deutsche Bank and JP Morgan in offering bullion storage facilities in Asia.
Perhaps this is where the approximately 300 tons of gold drained from the GLD over the past 6 months was headed?
As Bloomberg reports, the Swiss bank has launched a gold storage service in Singapore:
Switzerland’s biggest bank, started storing gold for wealth-management clients at a facility in Singapore, citing interest from investors in the region even after the metal slumped into a bear market.
The leased vault in the Singapore FreePort is available for clients in the city-state and Hong Kong, according to Peter Kok, regional market manager for wealth management in Singapore and Malaysia. While bullion is heading for the first annual drop in 13 years, client interest persists, Kok said.
While the Western financial authorities proclaim gold “tradition” and a barbaric relic, Singapore authorities are encouraging gold ownership and investment:
“Notwithstanding the drop in gold prices, we are still receiving queries on the offering from clients who are keen to reap the benefits of asset and geographical diversification,” Kok said in an e-mailed reply to questions.
The Singapore government has been promoting the country as a bullion-trading hub, removing a 7 percent sales tax from investment-grade precious metals last year.
Meanwhile, GLD’s inventory continues to plunge:
Holdings in the SPDR Gold Trust, the largest bullion-backed exchange-traded fund, fell 1.2 metric tons to 968.30 metric tons yesterday, data on the SPDR website show. The holdings have dropped 28 percent this year to the lowest level since 2009.