Bullion Management Group Inc. (BMG) is one of the fastest-growing precious metals bullion investment companies.
Our investment philosophy has focused on protecting investors’ wealth through the purchase and secure storage of physical gold, silver and platinum bullion.
When BMG was established in 1998, there was no cost-effective, convenient way for Canadians and investors worldwide to purchase and hold physical investment-grade bullion. Moreover, bullion in Canada could not be held in RRSPs or other registered plans. BMG recognized that investors needed, but were not getting, true portfolio diversification. Despite what conventional wisdom proclaimed, and what most investors believed, stocks, bonds and cash alone were not providing true portfolio diversification resulting in sustainable wealth protection.
Through independent studies and our own research of the markets and the economy, we came to understand that true diversification requires more than three asset classes (stocks, bonds and cash). In particular, because of their uniquely negative correlation to the all other asset classes, we were able to confirm that precious metals were a vital component of every investor’s balanced portfolio during both bull and bear market cycles. During a bull market cycle, bullion lowers downside risk by providing essential portfolio insurance. During bear market cycles, bullion typically appreciates in value which helps offset other asset class declines. It is important to understand that these market cycles are normal. Our research also revealed that to mitigate risk, investment portfolios had to be more diversified and needed to include physical bullion, not only higher risk paper alternatives such as certificates, derivatives, futures contracts or precious metals mining stocks.
As a market innovator, BMG chose to offer only physical bullion to its clients. This approach was taken because when a financial crisis occurs, there is a general flight to safety in tangible assets, including gold, silver and platinum. Stocks, certificates, derivatives and even gold ETFs can lose their value precipitously, as they tend to follow the equities markets. For precious metals investors to feel absolutely confident about the safety, security and value of their investment, ownership of physical bullion is required. BMG has established the gold standard when it comes to investment protection, by offering investors allocated and insured storage of investment grade gold, silver and platinum bullion. This means that all bullion purchased by BMG meets the Good Delivery Standards set by the London Bullion Marketing Association (LBMA), The New York Mercantile, Commodities Exchange (COMEX), and the London Platinum and Palladium Market (LPPM)
The bull market in precious metals is expected to continue for many years to come. BMG will continue its strategy of introducing, new bullion-based products for investors who are seeking more innovative ways to diversify their investment portfolio, increase and preserve their wealth. Unprecedented quantitative easing and loose monetary policy on behalf of all central banks and governments around the world, ensures continued appreciation for precious metals and assures growth of Assets Under Management for Bullion Management Group Inc.
