Precious Metals Storage for Family Offices
Smart capital preservation investment strategy is founded in the principles of diversification, asset protection and volatility moderation.
For many portfolio managers, including Family Offices, gold is a safe-haven asset that helps to hedge against inflation, protect from sharp drops in equity valuations, and functions to minimize the risks of currency fluctuations.
Gold has an impressive track record as a store of value. Gold ownership has been shown to protect purchasing power over the long-term, making it a popular component of many diversified investment portfolios.
The opening of the Texas Bullion Depository® as an agency of the state of Texas – the only state-administered and audited precious metals storage facility in the country – gives Family Offices and institutional investors a more secure way to acquire, store, and liquidate precious metals (through 3rd parties), while eliminating counter-party risk.
Family Offices Moving Toward Gold
A survey by the World Gold Council in 2012 revealed that the investment strategies of family offices were driven primarily by capital preservation, while considering portfolio volatility and diversification to lower risk. More than 47% of the family offices included in the survey owned gold in their portfolios. Of these investors, the typical allocation was more than 6%. This was higher than other alternative assets, such as commodities baskets, agriculture and oil, as reported in the same survey.
Reasons given by the family offices for their gold allocations include:
- Portfolio diversification
- Inflation hedge
- Currency hedge
- Store of value
- Safe-haven asset protection
The Texas Bullion Depository provides a safe and secure location for individuals, corporations, estates, trusts, Family Offices, governmental agencies and even sovereign nations to store and insure their precious metal assets.
The Texas Bullion Depository is an agency of the state of Texas administered under the Texas Comptroller of Public Accounts.
By utilizing a three-layered auditing approach to ensure accuracy, the Texas Bullion Depository increases the level of oversight on client assets to ensure the safety and integrity of those metals trusted to its custody. Your precious metal assets are never carried or reported on the balance sheet of the state of Texas or any other entity.
The legislation that authorized the creation of the Texas Bullion Depository ensures governance and accountability are always at the forefront of depository operations – features that don’t exist at private depositories in the United States or abroad.
Benefits of Storage at the Texas Bullion Depository:
- All assets are audited by the Office of the Texas Comptroller of Public Accounts
- Metals remain under the title of the depositor and are segregated into personal bins for each account
- 100% all-risk insurance provided through Lloyd’s of London
- Convenient process for deposits, withdrawals, liquidations (through a 3rd party) and billing
- Monthly statements and 24/7 online account showing current holdings by ounce and comparative value in dollars
- Photographic evidence of items in your portfolio, plus live video conference capabilities