Singapore Unveils First Locally Vaulted Physical Gold Fund: A New Era for Precious Metals Investment
Singapore has recently launched its inaugural fully insured and locally stored physical gold fund. The move enhances the city-state’s prestige as an international financial center and a hub for precious metals.
The LionGlobal Singapore Physical Gold Fund was unveiled following an alliance between Singlife and Lion Global Investors (LGI). It provides retail and policyholder portfolios with access to institution-grade bullion. This construct was designed to cater to the increasing demand for diversification and protection from long-term inflation, as reported in a press release on Tuesday.
The fund is entirely backed by physical gold bars that meet the London Bullion Market Association’s Good Delivery standards. This arrangement allows investors to gain exposure to the performance of the metal’s price while circumventing the logistical costs and security risks associated with private storage.
Transparent Tracking
The fund securely stores and insures all holdings in Singapore and aims to closely emulate the LBMA Gold Price AM benchmark. This practice ensures the transparent tracking of the global reference price.
The fund’s availability on Singlife’s ILPs is designed to let policyholders include physical gold exposure in their long-term insurance-linked savings and retirement plans.
Digital Access
Stanz Tan, Head of Investments and Wealth at Singlife, stated that this option supports “diversification, wealth preservation, and growth” as market dynamics develop. Digital access is a fundamental aspect of this rollout. Through GROW and dollarDEX, investors can add gold to their portfolios with minimal entry amounts.
Lion Global Investors CEO Teo Joo Wah stressed that Singapore’s reputation as a reliable financial and gold-trading hub makes it the perfect location for a fully backed physical gold fund. This initiative, he said, makes gold exposure “simpler and more secure for policyholders and investors alike” and aligns with the long-term structural demand for the metal.
Institutional Framework
Standard Chartered Bank acts as the custodian, trustee, fund administrator, transfer agent, and gold provider, centralizing oversight under a single institution with extensive experience in precious metals operations. This structure is designed to reinforce governance, safeguard assets, and enhance operational efficiency for investors seeking institutional-grade protections.
The launch, backed by partners including OCBC, MariBank, and Great Eastern, aligns with Singapore’s SG60 anniversary and utilizes the country’s refreshed aspirations in wealth management and gold custody.
This consortium-led approach underscores the fund’s role in shaping a more comprehensive precious metals market accessible to retail and institutional investors.
Questions & Answers
What is the LionGlobal Singapore Physical Gold Fund?
The LionGlobal Singapore Physical Gold Fund is a physical gold fund that is fully insured and locally stored. It was launched through a partnership between Singlife and Lion Global Investors.
How does the fund ensure transparent tracking of the global reference price?
The fund securely stores and insures all holdings in Singapore and aims to mirror the LBMA Gold Price AM benchmark closely.
Who are the key players involved in the launch of this fund?
Key players in the launch of the LionGlobal Singapore Physical Gold Fund include Singlife, Lion Global Investors, Standard Chartered Bank, OCBC, MariBank, and Great Eastern.
Source: https://www.retailnews.asia/