Storage & Delivery
Maximum security, minimum risk, Allocated bullion custodial storage accounts and Unallocated bullion custodial storage accounts are provided by ABX and available to all investors through ABX listed Brokers.
ALLOCATED BULLION STORAGE ACCOUNTS
ABX provides Members with an optional Allocated bullion custodial facility that can be offered in a downstream arrangement to their Clients and Sponsored Members in the ABX Vault Network. Under this storage arrangement the Members’ end Client has full title to this metal with the Member acting as custodian. Metal in an allocated account does not form part of a Members’ assets.All Bullion stored in the ABX Vault Network is held in the Vault Operators secure vaults and is insured on a 100% replacement basis.
Client holdings are identified in a holding list of bars and coins displaying the bar or coin gross weight and the assay or fineness of each bar. In the case of gold, its fine weight is also recorded on the holding list.
As all Bullion is sourced by ABX Good Delivery List persons, the Quality Assurance Framework ensures the fineness and quality of all Bullion traded and stored by the Exchange.
Bullion holdings are dual audited by Inspectorate and a registered auditor in each Trading Hub jurisdiction.
UNALLOCATED BULLION STORAGE ACCOUNTS
ABX facilitates and provides the ability for Members to offer their Clients Unallocated Account trading. ABX does not itself provide Unallocated Storage to Members, but rather allows Members to offer unallocated fractional Bullion contracts in a downstream arrangement to their end Clients.Due to the simplicity and cost effectiveness of trading, settling and holding Bullion in Unallocated Accounts; the majority of the wholesale market operates utilising this mechanism.
The units of these accounts are one fine troy ounce of gold and one troy ounce of silver and platinum based upon a 995 fine gold bar, a 999 fine silver bar or a 999.5 platinum bar.
The simplicity of this arrangement is reflected in the fact that transactions may be settled by credits or debits to the account while the balance represents the indebtedness between the two parties. Credit balances on the account do not entitle the creditor to specific bars of gold, silver or platinum but are backed by the general stock of the Member with whom the account is held. Clients are unsecured creditors of the Member when Bullion is held in an Unallocated Account.
Unallocated Storage Accounts are backed by physical bullion with the following specifications:
