Can no longer trade Gold and Silver ETF with my bank

Discussion in 'Stocks & Derivatives' started by MacAg, Oct 16, 2013.

  1. MacAg

    MacAg Member

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    Received this yesterday from my bank. They'll no longer allow online trading for ETFs/ETCs. I'm curious as to why a large global bank would make this decision. Isn't the risk mine when I buy and sell these things?

    Anyone else received anything similar recently?

    Yeah, yeah, I know the mantra "If you don't hold it you don't own it". These were purchased years ago, before discovering what they really may or may not contain. And before discovering the wealth of knowledge here and other places online.
     
  2. fiatphoney

    fiatphoney New Member

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    It's almost like an unallocated gold forced cash out like ABN AMRO
    Very interesting, and I wonder how widespread...
     
  3. Pirocco

    Pirocco Well-Known Member

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    It depends on the kind of ETF, some do have a gold or silver stock, thus 'allocated'.
    ABN AMRO is allocated, that Zerohedge story about a forced cash out was bullshit, the bank only changed to another precious metals storage custodian / company, a change that ment that the bank wouldn't deliver the involved precious metals anymore. For an obvious reason, there are now plenty precious metals dealers in Netherland that offer to store precious metals, for the exact same purpose (cyclic buy/sell without tax/shipping hassles), so ABN AMRO's former function/role became redundant in that changed competitional environment.
    Of course, the dealer club made their suggestive custom version of this story, alike that there would be no gold behind ABN AMRO' financial products (not true), alike there would be shortage, while themselves they advertised their own storage, for all the gold or silver desired. Their motivation is obvious, and it's not a coincidence this happened early april 2012, just before the big precious metal dumps (and consequential price collapse) started, in golds case, exactly those ETF products. See, those investment funds (with some heavy participations in key Netherland precious metal dealers alike AmsterdamGold, TheSilverMountain, both already together before), wanted alot others to buy gold around the time they dumped their big participations, allowing them to dump more in the higher price range.
     

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