The Contemporary Gold Market
Limited opportunities for investment
Gold is not always accessable to clients in physical form, and the clients instead receive equivalents in the form of gold certificates and precious metals accounts. This means that the holder of such securities undertakes the risk of bankruptcy of the issuer. Thus, for example, in the case of the bankruptcy of the international investment bank Lehman Brothers investors who had made investments in its securities which had been nominated in gold and other stock market goods received a grand total of a few cents for each dollar which had been invested.
The most popular form, in which gold is circulated, is bullion coins. They are accessible in terms of price and easy to store and transport, but they are difficult to see by virtue of the absence of an organised market. The necessity of having the authenticity of gold bullion coins checked through a limited number of gold dealers when each purchase or sales transaction is taking place renders bullion coins unfit for purpose as a means of settlement (commission fees amount to as much as 20%).
The liquid market for physical gold has a high entry threshold. The minimum amount of gold required for entry to the market is an ingot weighing from 350 ounces upwards. Its price ($300,000 - €330,000 ) severely limits the range of those aspiring to do so.
The most popular form in which gold is circulated is bullion coins. They are accessible in terms of price and they are easy to store and transport, but they are difficult to sell by virtue of the absence of an organised market.
The necessity of having the authenticity of gold bullion coins checked through a limited number of gold dealers when each purchase or sales transaction is taking place renders bullion coins unfit for purpose as a means of settlement (commission fees amount to as much as 20%). Bullion coins are made inconvenient to enact settlements on purpose.
IRSS GOLDextends the range of opportunities for transactions involving gold
The prospects for clients of IRSS GOLD:
- To become the owner of real gold rather than of its equivalent in the form of a paper certificate
- To protect their capital by investing in physical gold rather than waiting for savings in paper currencies to become devalued
- To store their gold safely in a certified vault at a minimal cost To make trades in exchange for gold and to accept settlement without worrying about exchange rate differences or the reliability of the banks of those with whom they are entering into contracts
- To acquire and sell goods and raw materials which are quoted in gold while protecting themselves from the high volatility of commodities markets
- To acquire moderate amounts of gold in the form of "Golden" ingots at a minimal premium and to sell them at any time
- To become a member of the IRSS Gold Market gold exchange and to trade physical gold with other members
