BMG BullionFund concept was established in 1998 when my own research led me to conclude that equity markets were forming a bubble, and that economic conditions were about to deteriorate. My research indicated that the next bull market would be in commodities, particularly precious metals. Gold was under $300 an ounce, and silver was under $5 an ounce.
Throughout my 30-year career in the investment business, I have always maintained that precious metals are a vital component of a diversified portfolio. However, it was my firm contention that the form had to be actual physical bullion, not a paper derivative such as a futures contract, or an equity interest in a mining company. Although investments in commodity futures and mining stocks were available both directly and through mutual funds, there was no cost-effective, convenient way for Canadians to purchase and hold gold, silver and platinum bullion. Moreover, bullion could not be held in RRSPs or other registered plans.
After further legal research and four years of negotiations, The Millennium BullionFund's first NAV was published on March 5, 2002. This year we are celebrating the tenth Anniversary of the launch. After further negotiations with the remaining provinces and territories, it received complete Canadian approval in May 2003. For the first time, Canadians could fully diversify their portfolios and hold gold, silver and platinum bullion in their RRSPs. In 2008 the name was changed to BMG BullionFund™ in order to present a consistent brand image with our other planned precious metals offerings.
After three years of software development BMG BullionBars™ was launched. This product allows high net worth investors to purchase individual bars of gold, silver and platinum through approved dealers as easily as purchasing stocks. At the investors’ option the bars can be stored on a fully allocated, insured basis with The Bank of Nova Scotia as custodian in Toronto, New York and Hong Kong.
;)
;)
