The Perth Mint: Innovations in precious metals investing

Innovations in precious metals investing

March 2019

The Perth Mint was excited to be a part of the SMSF Association National Conference in Melbourne last month, which was abuzz with more than 1,600 delegates.

Our team of experts spoke with hundreds of SMSF professionals, sharing news about innovations in precious metals investment and gaining valuable insights into clients’ needs.

With the gold price rising from less than AUD 500 per ounce to over AUD 1800 per ounce since the turn of this century, interest in precious metals from SMSF trustees has been on the rise for some years, especially since the GFC.

Not only is there a growing realisation by trustees and their advisors that gold has traditionally delivered strong long-term returns, but that it can also offer diversification benefits to a portfolio. This is due to its low correlation with equity markets, especially when those markets suffer significant pullbacks, much like we saw again in Q4 of 2018.

Its historically strong performance whenever real interest rates (which factor in rates of inflation) are low is also highly topical among SMSF trustees and their advisors today given the record low cash rate in Australia, which current market pricing suggests will last for years to come.

Options with gold class service

When considering an addition to their portfolio many SMSF trustees seek not just sound investments from a trusted provider, but options which also offer easily accessible administration support.

So much more than a traditional mint, we offer a range of contemporary investment products with the backing of a dedicated service team.

Already we secure holdings for more than 3,000 Australian SMSFs whose trustees have access to assistance with all aspects of their precious metals account from staff in our Perth headquarters (with personal support available Monday-Friday, 8am-5pm, AWST).

Services provided as part of our investment solutions include buying, selling and storage support, the prompt provision of current and historic valuations, and end of financial year and other statements related to accounts held at The Perth Mint.

To further facilitate the management of a precious metals account within an SMSF, any statements and other documentation can be sent directly to a client’s advisor (including an accountant or lawyer) on the provision of necessary authorisation. We can also add a client’s advisor as an operating authority on a Perth Mint account.

It’s these services that have helped make The Perth Mint trusted by a total of more than 40,000 investment clients including central banks, sovereign wealth funds and individuals, for whom The Perth Mint safeguards holdings worth in excess of AUD 3 billion.

Depending on their strategies and preferences, SMSF investors can choose from a range of listed products and depository programs through to a smartphone app and traditional bullion products.

Options include:

Listed products

PMGOLD

Listed on the ASX and accessible through a standard Australian share trading account, PMGOLD is structured to track the international spot price of gold in Australian dollars.

Perth Mint Physical Gold Exchange Traded Fund (AAAU ETF)

The first gold ETF to have the precious metal held on behalf of investors guaranteed by a sovereign entity, AAAU tracks the international price of gold in US dollars. Listed on the NYSE, AAAU is available to Australian investors through an international share trading account.

Online trading

Perth Mint Depository

This option provides a 24/7 online trading portal with live pricing, offering investors a convenient and flexible way to buy, store and sell gold, silver and platinum. Real-time statements and other documents are also available.

Depository Online additionally offers a ‘set and forget’ monthly savings plan with a minimum contribution of only AUD 50 per month.

Depository

Depository Program Account

The Depository Program caters for investors who wish to operate their account by personal contact with our in-house traders via telephone or email.

Smartphone app

GoldPass®

The latest addition to our investment products is the smartphone app GoldPass®, a full-service investment app that allows users to buy, store, sell and transfer physical gold via a 24/7 trading platform.

Bullion bars and coins

Our bullion range can be ordered online or by phone for secure delivery. Alternatively products can be purchased over the counter in our bullion trading room.

Provided across our entire investment range

  1. Unique government guarantee on all precious metal underpinning investments

Investors who choose any of our products do so with the knowledge that every ounce of precious metal stored on their behalf is guaranteed by our owner, the Government of Western Australia, under the Gold Corporation Act 1987.

Precious metals secured on behalf of investors are safeguarded in the southern hemisphere’s largest network of central bank grade vaults.

  1. Option to Take Delivery

All investment choices allow for the physical delivery of precious metal at any time.

  1. Entirely transparent and competitive fees
  2. Secure administrative and trading procedures
  3. Complete customer confidentiality

For more information on our investment products, go to perthmint.com/SMSF

 

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For more information please visit The Perth Mint website.

 

Disclaimer

Past performance does not guarantee future results.

The information in this brochure and the links provided are for general information only and should not be taken as constituting professional advice from The Perth Mint.

The Perth Mint is not a financial adviser. You should consider seeking independent financial advice to check how the information in this brochure relates to your unique circumstances.

The Perth Mint is not liable for any loss caused, whether due to negligence or otherwise, arising from the use of, or reliance on, the information provided directly or indirectly, by use of this brochure.