MIGRATION TO NEW VAULT COMPLETE
On October 29, 2020, we ended our relationship with The Perth Mint and began moving all of our precious metals holdings to our new custodian, a global leader in high security bullion vault storage. The Precious Metals Account continues to operate as normal, allowing you to buy, sell, and hold gold and silver 24/7. Read our official announcement from October 2020 here.
Invest in Gold & Silver
The Precious Metals Account offers investors a convenient, secure, and efficient way to access the precious metals market and diversify their portfolios. Simply log into your eBanking to invest and track your holdings from anywhere in the world.
If your goal is to protect your purchasing power and diversify your wealth, while maintaining the convenience and access of an online bank, the Precious Metals Account is suitable for you. Our mission is to lower the barriers to investing in precious metals, while physically backing your account holdings 1:1.
Account Features
Fully Allocated Gold & Silver Bars
We own and store only investment-grade, fully-insured LBMA/Good Delivery bars. These industry-standard, widely recognized bars ensure long-term liquidity, low counterparty risk, and true 1:1 price exposure to precious metals.
Secure Storage
We’ve chosen one of the largest, privately operated non-bank vaults in Asia. They’re an ISO 9001 certified, state-of-the-art bullion vault in one of the safest jurisdictions in the world for bullion storage.
Completely Liquid
You can convert your gold and silver holdings to cash on a timely basis inside your Euro Pacific eBanking platform. Cash proceeds are credited to your bank account and you have the flexibility of transferring those funds internationally.
Ease of Use
Buy, sell, and hold precious metals directly inside your eBanking without needing to open a new account or transfer funds to a third party. Simply convert your cash into gold and silver ounces, 24 hours a day and 7 days a week.
More Transparency
An internationally-recognized auditor will enter our vault and inspect our holdings, accounting for each bar we own. After we receive our audit letter, we will publish it to our website.
Fees to Buy, Sell, and Hold
Trading Fee
Gold and silver are traded at the live spot price shown in your eBanking trading module, plus trading fee.
| Order Amount | BUY | SELL |
|---|---|---|
| $1 – $5,000 | 4.00% | 4.00% |
| $5,000.01 – $20,000 | 3.00% | 0.50% |
| $20,000.01 – $50,000 | 2.50% | 0.50% |
| $50,000.01 – $100,000 | 2.25% | 0.50% |
| $100,000.01 – $500,000 | 2.00% | 0.50% |
| $500,000.01 – $1,000,000 | 1.50% | 0.50% |
| $1,000,000.01 + | 1.00% | 0.50% |
*Please note that only market orders are accepted.
Storage Fee
| Metal Type | GOLD | SILVER |
|---|---|---|
| Annual Fee* | 0.25% | 0.45% |
*Annual storage fee accrued daily and debited biannually. On January 1, 2021, the storage fees changed from 0.00% gold and 0.95% silver to 0.25% and 0.45% respectively.
Security & Stability
We’ve chosen one of the largest, privately operated non-bank vaults in Asia to store our physical bullion. The state-of-the-art bullion vault is located in one of the safest jurisdictions in the world for bullion storage.
Boasting a storage capacity of 630 metric tons and ISO 9001 certification, the world-class vault is guarded by the auxiliary police. The custodian vault is also licensed by the customs authority under the local government.
Overview
Our custodian vault is audited every quarter by two renowned and trusted firms, Bureau Veritas and Ernst & Young. Further, as a firm, we also have the option of electing auditors of our choice to inspect our bullion at any time.
Monthly Audit
Our responsibility is to back the Precious Metals Account with physical precious metals. In return, clients receive true price exposure to physical gold and silver. Every month, we publish in this section the ratio of total client gold and silver holdings relative to the total ounces of bullion we physically hold in our custodian vault.
Gold Total
| Date | Client Holdings (oz.) | Vault Holdings (oz.) | Total Backing* |
|---|---|---|---|
| 01/2021 | 13,249.33 | 13,251.61 | 100% |
| 02/2021 | 12,928.01 | 13,251.61 | 103% |
| 03/2021 | 12,949.06 | 13,251.61 | 102% |
| 04/2021 | 12,793.35 | 13,251.61 | 104% |
| 05/2021 | 12,675.05 | 13,251.61 | 105% |
| 06/2021 | 12,420.22 | 13,251.61 | 107% |
| 07/2021 | 12,317.89 | 13,251.61 | 108% |
| 08/2021 | 12,387.47 | 13,251.61 | 107% |
| 09/2021 | 12,288.64 | 12,861.00 | 105% |
| 10/2021 | 11,934.72 | 12,861.00 | 108% |
| 11/2021 | 11,736.07 | 12,075.75 | 103% |
| 12/2021 | 11,741.20 | 12,075.75 | 102.85% |
| 01/2022 | 11,621.58 | 12,075.75 | 104% |
| 02/2022 | 11,524.77 | 12,075.75 | 105% |
| 03/2022 | 11,524.77 | 12,075.75 | 105% |
| 04/2022 | 11,579.76 | 12,075.75 | 104% |
| 05/2022 | 11,262.14 | 12,075.75 | 107.22% |
| 06/2022 | 11,244.29 | 12,075.75 | 107.39% |
| 07/2022 | 11,244.29 | 12,075.75 | 107.39% |
| 08/2022 | 9,886.46 | 12,075.75 | 122% |
Silver Total
| Date | Client Holdings (oz.) | Vault Holdings (oz.) | Total Backing* |
|---|---|---|---|
| 01/2021 | 366,942.53 | 349,843.89 | 95% |
| 02/2021 | 379,360.42 | 366,890.14 | 97% |
| 03/2021 | 372,348.14 | 366,890.14 | 99% |
| 04/2021 | 367,472.60 | 366,890.14 | 100% |
| 05/2021 | 364,891.00 | 366,890.14 | 101% |
| 06/2021 | 352,213.54 | 366,890.14 | 104% |
| 07/2021 | 350,285.73 | 366,890.14 | 105% |
| 08/2021 | 354,480.52 | 366,890.14 | 104% |
| 09/2021 | 359,348.27 | 359,042.77 | 100% |
| 10/2021 | 351,027.69 | 359,042.77 | 102% |
| 11/2021 | 349,446.11 | 359,042.77 | 102.75% |
| 12/2021 | 347,073.20 | 359,042.77 | 103% |
| 01/2022 | 346,013.35 | 359,042.77 | 103.77% |
| 02/2022 | 343,951.38 | 359,042.77 | 104.39% |
| 03/2022 | 350,799.29 | 359,042.77 | 102% |
| 04/2022 | 352,337.43 | 359,042.77 | 101.90% |
| 05/2022 | 333,842.43 | 359,042.77 | 108% |
| 05/2022 | 333,842.43 | 359,042.77 | 107.55% |
| 06/2022 | 330,564.12 | 359,042.77 | 108.62% |
| 07/2022 | 330,564.12 | 359,042.77 | 108.62% |
| 08/2022 | 312,312.94 | 359,042.77 | 114% |
*Total Backing % is calculated by dividing Total Vault Holdings (oz.) by Total Customer Holdings (oz.), represented as a percentage.
DISCLAIMER
Total aggregate client orders must reach a threshold of one full 400 oz. gold bar or 1000 oz. silver bar before we can physically cover (buy and sell) bars at our custodian vault. As a result, the Precious Metals Account will typically be slightly under-collateralized or over-collateralized at all times. In other words, the Total Physical Backing % will deviate slightly from 100% short-term and revert to the mean of 100% long-term.
Our custodian vault is fully-insured by Marsh, a 150-year-old precious metals industry-renowned insurance provider with over $3 billion in collected premiums annually. They provide our custodian vault a comprehensive insurance package with maximum liability of approximately $400 million for any one loss, covering all risk of physical loss or damage including terrorism and sabotage, mysterious disappearance, and infidelity of employees. Additionally, the insurance plan is financially backed by 40 underwriters at Lloyd’s of London.
Our fully-allocated physical precious metals are in the form of 400 troy ounce (12.4 kg) gold bars and 1,000 troy ounce (32.15kg) silver bars. Further, the bars were refined by LBMA-accredited refineries and strictly follow Good Delivery specifications.
Our bullion is segregated from other vault clientele as they are considered private property protected under local laws.
Our custodian vault’s proprietary bullion testing system, conducted by labs located in the vault facility, ensures genuinity of all precious metals stored. The comprehensive procedure consists of three non-destructive tests before the results are verified against an online database of parameters that are unique to the metals.
Technology-Driven Testing
To ensure traceability, reliability, and minimization of human errors, the testing procedure is enforced by our custodian vault’s proprietary software, which interfaces directly with testing instruments.
Frequently Asked Questions
What is the purpose of the Precious Metals Account?
The purpose of the Precious Metals Account is to provide clients a convenient way to invest in gold and silver, protect their wealth, and convert those holdings for currency quickly and conveniently.
Specifically, this is designed for precious metals investors seeking three things:
- Price exposure – Simple exposure to the gold and silver spot prices. You own ounces of gold (XAU) and silver (XAG), trackable directly inside your eBanking.
- Security of physical bullion – Every ounce purchased is physically backed 1:1 and stored outside of the banking system. This is relevant to clients who are worried about systemic financial risks, as our precious metals custodian is not a financial institution.
- Convenience & access – View your portfolio value in real-time, buy and sell directly inside your eBanking, and easily wire the cash proceeds or load up your bank card.
Because the Precious Metals Account is an institutional-level product, you will not be able to take delivery of or visit your precious metals holdings. You will be able to buy and sell to/from your bank account balance with us only. Therefore, if your goal is to take delivery of physical bars or coins, or if you need a traditional “allocated” storage program, the Precious Metals Account will not suitable for you.
Where does Euro Pacific Bank store its physical gold and silver bars?
We’ve chosen one of the largest, privately operated non-bank vaults in Asia to store all of our precious metals. They are an ISO 9001 certified, state-of-the-art bullion vault in one of the safest jurisdictions in the world for bullion storage.
We are also continuously setting up relationships with new vaults and mints around the world to internationally diversify our physical storage. We are keeping in mind the different risk factors that each country possesses and are allocating our assets accordingly.
Is the Precious Metals Account an allocated program?
No. Clients have holdings in the Precious Metals Account, and our responsibility is to back the product 1:1 with physical precious metals in our network of reputable, non-bank vaults. In return, clients receive true 1:1 price exposure to gold and silver, the convenience of buying and selling online, and 24 hour liquidity.
Can I withdraw funds using my bank card?
One unique feature of investing in gold and silver using the Precious Metals Account is bank card access. Unlike other precious metals investment products, we offer the flexibility and access of a bank card. This allows you to quickly liquidate some of your holdings and spend the cash proceeds by ATM withdrawal or point-of-sale.
Again, the bank card does not draw from your precious metals holdings directly, so you’ll need to liquidate some precious metals, load the cash proceeds onto your bank card, and track your bank card transactions inside your eBanking. Please read this article for more details.
The bank card is accepted in over 210 countries and territories and millions of merchants worldwide. However, please note that is completely optional and is currently only available to residents of SEPA. Learn how to order a bank card here.
Can I take delivery of my precious metals?
We do not offer delivery because the Precious Metals Account is not an “allocated” program. Again, the purpose of the Precious Metals Account is to provide clients a convenient way to invest in gold and silver and convert those holdings for currency at their convenience.
Why do I need to pay a Storage Fee?
As we back all gold and silver holdings using fully allocated gold and silver bars at our custodian vault, we incur a storage cost as an institution, which we pass down to all clients in order to operate this product.
How do I pay my Storage Fees?
The storage fees are expressed in % per annum terms, accrued daily, and automatically debited biannually, once in January and again in July of each year.
As a result, if you liquidate your holdings mid-year, you will be assessed a pro-rated storage fee for your holdings during the January or July payment cycles.