Deutsche Bank said on Monday it begun operating a precious metals vault in London, joining a series of other institutions that offer to store gold in the global centre of the over-the-counter bullion market.
Reuters reports that the vault has a capacity of 1,500 tonnes, making it significantly bigger than a 200-tonne storage facility that the bank owns at the Singapore Freeport. Other vaults are in Hong Kong, Zurich and New York.
The bank announced it would open a London vault in March 2012, when gold prices stood around $1,590 an ounce and investment demand was growing.
Prices however dropped 28% in 2013, following 12 straight years of annual gains and are currently close to four-month lows around $1,256 an ounce, as optimism about the global economy has encouraged investors to rotate towards more cyclical and riskier assets such as equities.
To access the complete Reuters article hit the link below: