Scottsdale Mint, locally based fabricator of precious metals, has entered into a strategic partnership with Singapore Precious Metals Exchange as the Exchange’s only certified broker in North America. The partnership will allow United States- and Canadian-based investors to participate in the world’s first physical gold and silver exchange, with peer-to-peer bullion trading capabilities via online services provided by the Exchange.
Scottsdale Mint president Josh Phair, who has extensive background in metals financing with Phelps Dodge and ASARCO, founded the company in 2008 because he saw a growing interest among investors for more transparent and safe means of storing their precious metals. With most storage provided by banks, Phair says, “There’s a lot of question and concern about banks’ accounting standards” and use of paper derivatives. Explaining that the physical metal bars sell at a premium over paper, Phair says the Exchange provides a platform allowing investors to “have that physical storage and peace of mind but at the same time have that liquidity” of being able to sell their bullion. “Our relationship with SGPMX presents a ground-breaking opportunity for precious metals investors in North America.”
Noting the company had already been doing a lot of business in Southeast Asia, Phair says Singapore is becoming a big player as a financial hub. “If not the biggest today, it will be — probably in the next year or two,” he says, citing the city-state’s stable government, transparent legal system and history of investment management combined with investor interest in geographic diversification.