Latest news with #GregorGregersen
India.com
5 days ago
- Business
- India.com
World's richest are storing their gold in a building due to..., the six-storey building has treasure worth Rs 120000000000, it is located in...
(Representational image/AI generated) New Delhi: Did you know that these days, the wealthy are storing their gold in Singapore? Amidst international uncertainties, diminishing trust in banks, and geopolitical tensions, the world's rich are now keeping their gold not in bank lockers but in secure vaults abroad. The biggest beneficiary of this trend is Singapore, which is becoming the 'Geneva of the East' for high-net-worth individuals (HNWIs) worldwide. According to a CNBC report, 'The Reserve', a six-story private vault near Singapore Airport, currently stores approximately $1.5 billion (around Rs 12,500 crores) worth of gold and silver bars. This building, covered with onyx, features top-notch security and contains thousands of safe deposit boxes and a vast storage chamber. According to the founder, Gregor Gregersen, orders for gold-silver storage have increased by 88% between January and April 2025, while gold-silver bar sales have seen a 200% year-over-year growth. Why is this trend of gold changing? Trust crisis: Wealthy individuals in countries like Lebanon, Algeria, and Egypt are losing faith in their banking systems. Inclination towards physical gold: Gregerson states that people now consider holding physical gold more secure than paper gold (ETFs, mutual funds) as it carries less counterparty risk, or the risk of default from a third party. Lessons from the banking crisis: The 2023 Silicon Valley Bank crisis made many wealthy investors realize that it's better to hold actual gold physically in a reliable location rather than relying on paper claims. Why is Singapore becoming the first choice? Political stability: Singapore is considered a 'safe jurisdiction,' much like Switzerland once was. Transit hub: It serves as an important transit center, making the import and export of gold easier. Bank-free storage: John Reed from the World Gold Council mentions that some investors now prefer to store gold outside of banks, as they feel the banking system is not completely secure anymore.
CNA
26-05-2025
- Business
- CNA
Silver prices up 14% so far in 2025 in catch-up game with gold
SINGAPORE: Silver prices have surged 14 per cent so far this year, driven by industrial use in growing sectors like electronics and renewable power. But investors are also turning to the precious metal as the price of gold soars to record highs on the back of global economic uncertainty. Already, the Singapore Bullion Market Association (SBMA) said it has seen more investments in silver over the last quarter. 'Allocating gold as an asset class to the portfolio is a norm. But as the price of gold increases … some people are looking at silver as an alternative to be included into their portfolio,' said its CEO Albert Cheng. Currently, the gold-to-silver ratio is at about 100, meaning one unit of gold is worth 100 units of silver. '(The ratio) is extremely high, which basically means silver is extremely cheap,' said Mr Gregor Gregersen, founder of The Reserve – a high-capacity vault for the storage of gold and silver in Changi. 'We have had clients buying 30 to 40 tonnes of silver, some coming in by container ... they're holding it long term (to) switch between physical silver and physical gold (in the future).' He told CNA938 that such investors typically wait for the gold-to-silver ratio to readjust before switching their assets, with gold usually preferred as it is less volatile than silver. Market watchers expect that the price of silver will keep pace, bringing the ratio closer to the 40-year average of about 70. SILVER USE IN INDUSTRIES About 60 per cent of silver in the market is used for industrial production, while 10 to 20 per cent goes to investors. Demand on both sides has been on the rise. The rest is used in jewellery, silverware and for other purposes. Considered an excellent conductor of electricity, silver is sought after in sectors such as electric vehicles, semiconductors and artificial intelligence technology. The rapid growth in such industries with a high usage of silver has fuelled concerns that it could cause a deficit in the precious metal and fuel strong price appreciation. For instance, silver is an indispensable resource in the production of renewable energy systems like solar panels. It is used in thin wires running down each grid that collect and transport electrons generated by sunlight. Unlike other metal electrical conductors such as copper, it does not rust and decay – making it the preferred choice. According to the World Silver Survey, demand from the solar panel industry has surged close to 139 per cent over the past decade. But supply is struggling to keep up, with mine production down some 7 per cent. 'Silver is used a lot in our busbar. If we (have) a shortage, then this will disrupt the whole solar industry,' said Larry Zhang, senior business development manager at JA Solar. To mitigate disruptions, the Beijing-headquartered solar development firm said it has secured partnerships with suppliers to ensure a steady flow of material for its panels. HOW DEMAND COULD BE AFFECTED While demand for silver is expected to stay strong, a weaker economic outlook could change things for the precious metal. Dr Tan Kee Wee, an economist at the Singapore Precious Metals Exchange, said that in a downturn, consumers stop purchasing big ticket items like cars or solar panels, driving down demand for the metal and causing prices to fluctuate. 'The health of the global economy affects the price of silver,' he said. 'Whereas (for) gold, usually even when the whole world goes into a downturn, the price of gold will not drop (as drastically).' For investors, silver has delivered an approximate price return of 20.3 per cent in the past two years, despite being more volatile than gold. But whether silver or gold, market watchers believe investors will continue to flock to safe haven assets as long as instability prevails in the global economy. 'Precious metal is often termed as a crisis commodity because it reacts as a hedge against uncertainty,' said SMBA's Mr Cheng. 'With the uncertainty in the macro environment and tariff war still ongoing, I would say that gold will continue to perform well in the coming few quarters. With this as a backdrop … silver will continue to behave in the same direction as gold.'
CNA
23-05-2025
- Business
- CNA
CNA938 Rewind - All that glitters is… silver?
CNA938 Rewind Gold has taken centre stage, outperforming many other major assets. But silver is also quietly carving out its own niche. From January 2023 to December 2024, silver has delivered a price return of 20.3 percent. Increasingly, silver is turning into a compelling asset that can shine in various market conditions. Andrea Heng and Hairianto Diman look at what's propping silver up and whether it will continue to gain traction with Gregor Gregersen, Founder of Silver Bullion.
CNA
11-05-2025
- Business
- CNA
Sales of gold in Singapore on the rise amid global economic uncertainty
SINGAPORE: Gold dealers in Singapore have seen sales of physical bars and coins soar in the first four months of the year. In the first quarter, Singaporeans bought 2.5 tonnes of gold bullion, a 35 per cent increase compared with the same period last year – the biggest on-year jump since 2010. Despite the precious metal's spot price breaking US$3,000 (S$3,900) in March and surging to US$3,500 less than two months later, buyers do not appear deterred and sales are still going strong. Analysts said part of the rush to purchase gold is due to hedging against economic risks, as rising global uncertainty pushes investors to go for a safe haven asset. SNAPPING UP GOLD Mr Gregor Gregersen, founder of The Reserve – a high-capacity vault for the storage of gold and silver in Changi – said some ultra-high net worth clients are switching over to physical gold. "(They're) buying, let's say, S$60 million to S$70 million worth of gold. (Some) clients are doing it because they want to materialise the might be having large positions in paper hold and they're getting more worried about what might happen,' he said. 'They're saying, 'I'd rather… get physical gold, put it in a safe place, and essentially reduce my risk'." Mr Shaokai Fan, the World Gold Council's head of Asia-Pacific and central banks, said gold has proven its resilience during periods of instability. 'It's also a relatively liquid asset, so I think that's what caused a lot of investors to still invest in gold despite the fact that the price is relatively high,' he noted. He added there are growing concerns about the future of traditional safe haven assets like the United States dollar and US Treasuries. 'When you don't have those safe haven assets available, you're left with a few others … (such as) government bonds and gold. Many investors have … turned to gold as a way to brace themselves against an uncertain world,' he said. NOT ALL GOLD GLITTERS But not all gold assets are being snapped up. Demand for gold jewellery fell 20 per cent on-year in the first quarter, partly due to the record price environment. Gold dealer Brian Lan said jewellery tends to cost more as there are labour costs involved in crafting pieces. Jewellery is also subject to goods and services tax (GST), unlike investment-grade gold bullion. 'So, comparing both, if you want to look for investment, of course more people will look at physical gold instead of jewellery,' said Mr Lan, who is the managing director of GoldSilver Central. 'Many people see it as a universal currency. People (also) think they can melt the gold, if required, and change it into jewellery.' For the rest of the year, analysts said the appeal of gold with central banks will underpin demand, pushing prices to fresh all-time highs. Mr Fan pointed out that central banks have been buying huge amounts of gold for the last three years. 'Central banks are ultimately much more sensitive about some of these political developments that we've been seeing. They, like other investors, also need to find ways to build more resilience,' he said.
