Ronald Stöferle

Where to store your Gold?

When it comes to storing gold, many things have to be considered. Next to the amount, general risks and other factors especially the location of your deposit is of great importance. To address this topic, Ronald Stöferle wrote an article which was posted in the Singapore Bullion Market Association short (SBMA). In this article we will take a closer look at Liechtenstein, Switzerland and Singapore.

The many factors!

There are many reasons to hold physical gold. Risk diversification, hedging against vulnerability and of the good old worst scenario, the big crash of the financial system. The location of your deposit has to meet hole arrange of factors, like property rights, financial freedom and many more.

In the hearth of Europe

Liechtenstein has a rich history and is the last part of the Holy Roman Empire. Today’s reputation stems from the fact that the current Prince Hans-Adam II inherited played a big part in turning the little nation into what we know today. The nation is known for being a hub for finance, banking and business in general. This upheld by a government and royal house which fully embraced property rights, individual freedoms and many other factors like running a budget surplus for years.

Deep in the Alps

Resisting outside influences throughout its history, being neutral and well-armed as well as having one of the most decentralized political systems in the world today. These are to list just a few of the many things Switzerland is renowned for. Im Vergleich zu den übrigen Nachbarn ist die Schweiz viel umsichtiger, wenn es um die Verwaltung ihrer Finanzen geht und auch, wenn es darum geht, der politischen Entwicklung zu folgen. The nation is well armed and there are strict limits on what the government can do. This and many other factors like being open to innovations make Switzerland a good place for your gold.

The Asian tiger

Our last contender is Singapore. In the last few decades, it has quickly risen through the ranks. Many positive factors like no capital gains taxes, no goods and services taxes and a strong respect for private property are a bunch of the strong points of the island. It’s a global financial hub and enjoys proximity to China. It has a stable political system and is very investor friendly. Economic freedom is viewed as one of the big pillars of the nation and this won’t change soon.

A tough decision

All these jurisdictions provide a solid case for long term gold storage. Many factors also play a big role which we haven’t touched on. In the end everybody puts some risks higher and some lower. When looking at the ever-increasing centralization of the EU, both Liechtenstein and Switzerland could be targets. Compared to that Singapore could be off much better.

Quelle: https://www.sbma.org.sg/media-centre/publication/crucible-issue-15/global-gold-storage-options/