Receiving a gold medal doesn’t feel quite as good if you know your competition was injured, right? That seems to be something of a gold standard, in that the international trade community has been focusing on your gold bullion purchases following along the same line of logic.
Over the years, gold has maintained its place as a top investment tool for the facilitation of international trade. There are a number of internationally recognized accreditations and regulating bodies whose purpose is to ensure that the precious metals circulating through our increasingly global economy are consistent in both their quality and their adherence to ethical practices.
New Release of Conflict-Free Gold Bullion Creates a Beautiful Illustration of That Focus
The United States Gold Bureau is always committed to the quality and ethical practices involved in the products we offer our customers, and we have been chosen by Republic Metals Corporation (RMC) as the exclusive seller of their newly released International Trade Bullion (ITB) 1 oz .9999 Fine Gold Bar. As a company, RMC has been recognized for its products and responsible business practices by the foremost organizations creating internationally recognized codes of conduct and regulating the refining and trade standards for precious metals.
So, what do all of those fancy acronyms and accreditations mean?
We all know that the mining of precious metals has historically been a dirty industry (literally and figuratively!). Over the centuries, the governing bodies of the US, UK, and many other influential countries have created and enforced regulations to improve physical conditions, reduce illegal activity, and corral environmental impact from older standards for mining, as well as refinement and trade practices.
However, not all places where precious metals are mined fall under the legal regulations created by these countries. As part of the process to remedy this, the international trade community set to work on creating standards, organizations, and regulating bodies that would have global influence. The actions taken and the accreditations awarded by these regulating bodies and organizations all aim to increase global trade using a framework of ethical regulations and processes.
Accreditations for Conflict-Free Gold & the London Bullion Market Association
In 1987, the London Bullion Market Association (LBMA) was formed by the Bank of England to prioritize improvement of regulations on gold and silver in the London Bullion Market and eventually throughout the international trade community.
In the 30 years since their inception, LBMA has become one of the most influential organizations (and acronyms) across international precious metals markets. Though LBMA started with a much smaller sphere of influence, the introduction of The International Bullion Master Agreement (IBMA) in 1994, to provide a common set of terms for bullion transactions in international market, and the creation of a new category of LBMA membership in 2000 opened the organization to companies outside of the UK.
LBMA honed their mission in 2004 with the creation of the Good Delivery List. LBMA’s official brochure (PDF) describes how, “In the refining industry, the LBMA Good Delivery List includes the world’s pre-eminent refiners of gold and silver, located in 28 countries. The List is widely recognized as the de facto standard for the quality of gold and silver market bars and is used by precious metal exchanges around the world to define in whole or in part the refiners whose gold and silver bars are accepted in their own markets.”
On its own the list affirmed the quality of production and product, but in 2012 LBMA’s “Responsible Gold Guidance” (PDF) would become an official requirement of the Good Delivery List. The framework created by the list and the new requirements have made LBMA’s accreditation the leading global standard for responsible sourcing of precious metals.
Today, the Good Delivery List is LMBA’s main focus, and its framework is described as having been developed to “avoid contributing to conflict, human rights abuses, terrorist financing practices, and money laundering” and to “to assure investors and consumers that all London gold stocks are conflict-free due to compliance with an audited, conflict-free process.”
What Does That Mean for My Investment?
What the international trade community’s support of ethically sourced gold as an investment tool really means, is that your International Trade Bullion gold bar not only does good, but is better. The accreditations from LMBA and similar organizations provide globally recognized assurances that the products and companies endorsed are of the absolute highest quality and standard, and that your investment is lining your pockets and not those of companies violating human rights regulations or involved in otherwise criminal activities.
What’s not to love about an assurance like that?
To learn more about ethically sourced investment options with USGB please contact our Precious Metals Specialists at (800) 775-3504.