Dutch Bank Won't Deliver PM stored in Bank to Customers

Beginning next week, the bank will no longer allow customers to take physical delivery of the precious metals that they own and are stored at the bank.
http://numismaster.com/ta/numis/Article.jsp?ad=article&ArticleId=26721 Paper assets are a joke these days.......

 

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The title is misleading; it's a policy change for a service no longer offered. Goldbugs are abuzz with the slanted interpretation of events, however.
http://www.zerohedge.com/news/2013-03-24/another-gold-shortage-abn-halt-physical-gold-delivery

In the years when Gold bullion ownership was restricted in the USA, US banks still offered/traded Gold notes in guaranty. I'd imagine something like this is arranged, for Dutch participants in the ABN AMRO bank's allocated Gold scheme.

Takeaway: Paper PMs are still fine for traders, just don't expect to claim any of the underlying hard assets.

 

It could be an April fool's joke

 

I saw this. Between this story and Cyprus Turkey will have a huge row to hoe trying to get their people to "deposit" gold into banks.

Turkey is in a tough position. Their people are HUGE gold bugs, and because of this is putting tremendous downward pressure on their currency. Both they and India's currency are getting whacked by all of the gold imports into the country.

 

This seems to be the same as the Bank of China's accounts where you bring paper into the bank, they then 'convert' the value to gold which they store, but never can be physically removed. It just reflects the price of gold in the market. When the Chinese patron wishes to take it out, it is converted ( and it doesn't seem as nice as the Dutch solution) by their own formula to Yuan paper money. The gold stays with the bank. In this case, it seems the Dutch bank passed it on to another custodian ( Prob. JPMorgan ). I am sure it is all in the prospectus of the fund, and usually not read by the customer.

 

Details are so boring Jim, its more fun just to get mad.

 

Oh, I know. There must be a connection between Bullion and just plain Bull