Post by Sapphire Capital on May 2, 2013 6:11:52 GMT 4
The worldwide banking system stress tests showed that Basel III implementation will create a need for a total demand for "High Quality Collateral". Most try to do the trick by pushing their regulators to simply requalify the existing assets and collateral but a lot of investors demand different collateral now as they get increasingly wary of banks and their instruments.
Some banks went the long way to dubbe their clients gold assets by changing from account statements for bullion accounts with numbered bars to simple identifying the amount and value of the gold and in as such they can replace the gold when demanded with other bars than the ones delivered for custody.
Beware!
Some banks went the long way to dubbe their clients gold assets by changing from account statements for bullion accounts with numbered bars to simple identifying the amount and value of the gold and in as such they can replace the gold when demanded with other bars than the ones delivered for custody.
Beware!