Thursday, October 4, 2012
Gold trading in Malaysia with Genneva
With low bank interest rate and market volatility, many investors in Malaysia are turning to investing in gold for faster and better returns on their investment. Gold is a recommended hedge against inflation protecting the purchasing power going forward.
Two days ago, a gold trading firm Genneva's offices and its affiliates in the country were raided by a joint-team from four NGOs - the police, Bank Negara, the Companies Commission of Malaysia and the Ministry of Domestic Trade, Cooperatives and Consumerism - for various suspected offences.
Genneva’s Singapore subsidiary was also raided.
Anxious Genneva Malaysia investors and trading agents thronged the company's headquarters in Jalan Kuchai Maju 6 and its Penang hub to find out if their savings are safe in the wake of the raid. Many of them had invested large sums of money in the company's gold trading scheme. More..
Worried investors hope Genneva will be allowed to resume business soon.
A doctor has invested RM400,000 a year ago and has received an average return of RM8,000 monthly. The money is used to fund his son's tertiary education in London. Another daughter has just enrolled in a college in Kuala Lumpur.
Another investor said she depends on the returns on this gold investment for her family needs as she does not have any other income.
Yet another needs the monthly return to fund medical bills.
This is how it works at Genneva Malaysia S/B: (Click to enlarge image)
Background of Genneva Malaysia Sdn Bhd
According to the Gold Bullion Entrepreneurs Association of (GBEAM), there are no clear guidelines regulating any aspect of gold trading in the country and that the trade has been unregulated since the 1980s.
The association believes in the business model by Genneva Malaysia Sdn Bhd as it was based on a genuine platform.
“The action taken by Bank Negara could be based on a misunderstanding. GBEAM hopes that the Government will provide clearer guidelines to gold traders in the future,” the association said in a statement yesterday.
Image source: The Star
- Three Genneva directors, ex-director ordered to defend money-laundering charges
- Six Genneva personnel slapped with over 900 money laundering charges
- Genneva sets ‘gold medal’ record
Posted by HappySurfer at 12:38 PM
Labels: gold, Investment, Singapore
Subscribe to: Post Comments (Atom)
yes, this virtual gold trading somehow poses a high risk because we don't really own the gold but just certificates, not even at least with a reputable body or a bank..ReplyDelete
No money, no talk...and no money cos I do not dare take risks. The bigger the risks, the more the earnings...but the same with the losses. Can go either way... No need to be too greedy lah - enough to eat and live comfortably, good enough for me.ReplyDelete
SK, this is actual gold trading with real gold bars changing hands. Noticed the gold bars the investors are holding in their hands? There is also an authentication certificate to go along with the gold bars.ReplyDelete
STP, everything is relative - higher the gain, higher the risk. It's just a matter of a person's risk appetite and affordability.ReplyDelete
All said, gold is still an important component in an investment portfolio.