Related Reading: Strong Demand In Germany For Safe Deposit Boxes

Back in March and May of this year I blogged about Germans looking to safe deposit boxes to preserve their wealth in a negative interest rate environment. Tuesday night I came across a related article by The Sovereign Society’s editorial director JL Yastine on the Sovereign Investor Daily website. Discussing the subject of negative rates, Yastine wrote:

Negative rates aren’t just spurring European banks to consider a cash-heavy, vault-stuffing strategy. Regular folks are doing it too.

At some banks in Germany, demand for safe-deposit box rentals is three times what it was just a handful of years ago. At others, 80% of all the deposit boxes are already leased out. In smaller branches, it’s tough to find a deposit box at all.

The CEO of EGF, a German company that manufactures safe-deposit boxes, told one publication that they’re selling 20,000 boxes a year to banks, “and demand is still rising.”

(Editor’s note: Bold added for emphasis)

As I’ve noted before, Germany is also home to a number of safe deposit box facilities outside the banking system.

A good read, which you view in its entirety on The Sovereign Investor Daily website here.

By Christopher E. Hill
Offshore Safe Deposit Boxes (www.offshoresafedepositboxes.com)

Related Reading: Gold Popular With British Post Brexit

Earlier today I came across an interesting article on Reuters.com about the popularity of physical gold with British citizens in the wake of the historic “Brexit” vote. Clara Denina reported this morning:

Dealers are seeing an unprecedented amount of interest in gold, much of it from first-time buyers, to take advantage of its role as a safe haven in times of stress or unexpected “black swan” events like Brexit.

“The speed at which people are purchasing gold is unprecedented,” said Joshua Saul, CEO of The Pure Gold Company, where Hall bought and keeps her Britannia coins.

“We are seeing people convert as much as 40 to 50 percent of their net worth into physical gold, (compared to) 5 to 10 percent in the past,” he said…

(Editor’s note: Bold added for emphasis)

Converting 40 to 50 percent of their net worth into physical gold.

If that’s what’s really taking place- wow.

The new Sharps Pixley showroom/safe deposit box service in London, England, was also mentioned in the piece. Denina added:

Adam Cleary, 42, bought gold ahead of the referendum to protect himself from the event of a Brexit vote but also because of his distrust of the banking system.

He explained the attraction by harking back to the old days of trade.

“It cannot be canceled, it cannot be confiscated, it cannot be taken away,” he said in the showroom of dealer Sharps Pixley, where investors can keep their investments in safety deposit boxes.

(Editor’s note: Bold added for emphasis)

You can read the entire article on the Reuters website here.

By Christopher E. Hill
Offshore Safe Deposit Boxes (www.offshoresafedepositboxes.com)

(Editor’s note: The mention of entities marketing themselves as private vaults outside the U.S. offering safe deposit boxes/lockers at a minimum should not be construed as confirmation of services claimed to be provided or any sort of recommendation. A qualified professional should be consulted prior to making a financial decision based on material found in this weblog. If this recommended course of action is not pursued, then it must be understood that the decision is the reader’s and the reader’s alone. Christopher E. Hill, the creator/Editor of this blog, is not responsible for any personal liability, loss, or risk incurred as a consequence of the use and application, either directly or indirectly, of any information presented on the site.)

Related Reading: Japanese Gold Owners Look To Switzerland For Storage, Protection

Switzerland still has significant appeal for Asians who own gold. Masumi Suga and Ichiro Suzuki reported on the Bloomberg website July 7:

Japanese investors are buying gold to store in Switzerland because of negative interest rates and fears the yen will depreciate as the government grapples with the heaviest public debt burden in the developed world, according to BullionVault Ltd., an online trading and storage company.

The number of buyers jumped 62 percent in the first six months from the second half of 2015, Atsuko Sato Whitehouse, head of Japanese markets at the London-based investment service, said this week…

“Many of our Japanese customers think it’s too risky to hold gold bars at home and they want to keep them in Switzerland because they are anxious about the future of Japan,” Whitehouse said in an interview…

(Editor’s note: Bold added for emphasis)

Suga and Suzuki talked more about BullionVault’s Japanese customers, as well as its American and British clients.

An interesting piece, which you read in its entirety on the Bloomberg website here.

By Christopher E. Hill
Offshore Safe Deposit Boxes (www.offshoresafedepositboxes.com)

Related Reading: A Visit To Baoku Treasury, The World’s Largest Private, Non-Bank Safe Deposit Box Facility

Back on May 18, I blogged about the recent opening of Baoku Treasury, the world’s largest private, non-bank safe deposit box facility. I haven’t come across that much material about the Shanghai, China, private vault in my research, so it was with great pleasure that I spotted an article about Baoku on the Sixth Tone website (Shanghai) tonight. Wan Qian discussed her visit to the safe deposit box facility in the July 7 piece, which I found to be quite interesting. Qian reported:

Stories about the safe-deposit boxes in “Vault 1,” located 25 meters below ground level, have gone viral in recent weeks. The Baoku Treasury- owned by Baoku China- is the largest underground vault in China, reputed to be even more secure than banks…

Of the 18,000 safe-deposit boxes in Vault 1, 20 to 30 percent are reserved for use by businesses in Shanghai’s financial district, which use them for secure data storage. Several thousand more are reserved by the government, leaving approximately 10,000 boxes available for personal use. Six thousand of these have already been sold.

In addition to the Baoku Treasury, there are around 20,000 safe-deposit boxes scattered around the city’s financial district. However, only 20 percent of these are available to the public.

The rest are reserved for bank employees and VIPs. For this reason, private safe-deposit boxes have historically been a lucrative investment, with almost all of the ones in the financial district being snatched up prior to the opening of the Baoku Treasury…

(Editor’s note: Bold added for emphasis)

Good stuff. Head on over to the Sixth Tone website here to read the article in its entirety. And for more information about Baoku Treasury, you can visit their website here (translated here).

By Christopher E. Hill
Offshore Safe Deposit Boxes (www.offshoresafedepositboxes.com)

(Editor’s note: The mention of entities marketing themselves as private vaults outside the U.S. offering safe deposit boxes/lockers at a minimum should not be construed as confirmation of services claimed to be provided or any sort of recommendation. A qualified professional should be consulted prior to making a financial decision based on material found in this weblog. If this recommended course of action is not pursued, then it must be understood that the decision is the reader’s and the reader’s alone. Christopher E. Hill, the creator/Editor of this blog, is not responsible for any personal liability, loss, or risk incurred as a consequence of the use and application, either directly or indirectly, of any information presented on the site.)