tag:blogger.com,1999:blog-6089228851855763774.post6025600622149432667..comments2024-02-05T17:24:09.663+08:00Comments on Gold Chat: Understanding UnallocatedBron Sucheckihttp://www.blogger.com/profile/00530576934994289879noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-6089228851855763774.post-80749216069922470772011-03-01T09:07:48.960+08:002011-03-01T09:07:48.960+08:00We never owned any of the gold in our "pipes&...We never owned any of the gold in our "pipes", we leased it in from bullion banks. As our clients net purchased unallocated they were/are replacing the gold in our pipes owned by the bullion banks.Bron Sucheckihttps://www.blogger.com/profile/00530576934994289879noreply@blogger.comtag:blogger.com,1999:blog-6089228851855763774.post-89101846714892808672011-03-01T04:36:42.823+08:002011-03-01T04:36:42.823+08:00So.. when additional unallocated is purchased, do ...So.. when additional unallocated is purchased, do you have to increase the volume of the pipe or does it just replace 'self owned' unallocated?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6089228851855763774.post-79033785846555644122011-02-28T18:51:03.933+08:002011-02-28T18:51:03.933+08:00The term "unallocated" is not too diffic...The term "unallocated" is not too difficult to understand. But 99/100 the counterparty risk that goes with it is not explained to the depositor.<br /><br />There is another (disputed, OK!)consequence of depositing your gold in an unallocated account at bigger banks (not the Perth Mint, I am sure!). And that is that these bigger banks use these unallocated deposits to influence the gold price negatively by selling the gold(or 100 times the paper equivalent)to investors. After all, a low, stable gold price is in the interest of the system and the raison d'etre of the Federal Reserve as all critical economic signals are flashing bright green: "All is OK. Well done, more, more, more...you deserve another bonus" ;>)<br /><br />Knowing all of this, nobody in their right mind would deposit gold in an unallocated" account with the bigger banks. The only point of gold is *possession*! But again, nothing of this is explained.Troy Ouncehttp://troyounce.blogspot.comnoreply@blogger.com