Custody fees are one of the least understood expenses in gold storage. Investors usually see a headline storage rate, but the real cost often extends far beyond it. Account opening charges, bar handling fees, cross-border transfer expenses, insurance add-ons, and even spreads on execution can materially increase overall cost. For institutions, these costs distort reporting and compliance budgets; for family offices, they disrupt long-term planning; for private investors, they erode the safe-haven function of gold. For US investors, the same issues apply to precious metals IRA accounts, where custody fees play a decisive role in retirement planning. Understanding where hidden fees appear and how to structure transparent custody agreements is essential for anyone allocating capital into bullion.
1. Why custody fees matter for gold investors
Gold is different from income-producing assets. It does not generate dividends or coupons, which means that every dollar spent on custody directly reduces the net return. Over years, even modest fees compound into a material drag on performance.
For institutions, custody fees affect how gold is classified in reserves, how it appears in audited reports, and whether regulators treat it as a robust store of value. Family offices rely on predictable cost structures to plan inheritance, estate transfers, and intergenerational strategies; hidden charges undermine that predictability. Private investors expect gold to function as a safe haven, yet if storage is burdened with opaque fees, the protection they sought erodes silently.
Custody fees therefore are not just operational details. They shape how effectively gold fulfills its role in a portfolio — as security, as diversification, and as a long-term stabilizer. Transparent agreements preserve that role; hidden costs weaken it.
2. The main custody fees you always pay
Even when a custody contract looks simple, there are three categories of charges that appear almost everywhere: storage, insurance, and account maintenance. These are the baseline costs of holding gold with a professional provider. The level of each depends on the jurisdiction, the type of account, and the scale of assets, but all investors encounter them in some form. Understanding these fees is the first step toward separating transparent pricing from agreements that hide additional layers of cost.
2.1 Storage and account maintenance
Storage is the core service: keeping bullion in a high-security vault with controlled access, monitoring, and compliance oversight. Fees are typically quoted as an annual percentage of the gold’s market value — for example, 0.30% to 0.50% — or as a flat per-ounce rate.
Alongside storage, providers often add account maintenance fees. These can cover reporting, account management systems, and routine administration. In practice, they may be billed quarterly or annually, sometimes bundled into the storage charge, sometimes listed separately.
For institutions, the key is whether storage and maintenance fees are itemized. A consolidated line may look cheaper, but it hides the drivers of cost and complicates budgeting. Family offices need predictability: knowing that the annual bill will not fluctuate beyond agreed levels is critical for long-term planning. Private investors should look out for minimum fee clauses — even small holdings can trigger disproportionately high charges if the custodian sets a floor.
Transparent providers issue fee schedules that break down storage and maintenance explicitly, with clear percentages, minimums, and billing cycles. Anything less detailed invites hidden charges in later statements.
Figures are indicative and for illustration only. Actual custody costs vary by provider, jurisdiction, and account size. Investors should request full fee schedules before committing funds.
2.2 Insurance coverage
Insurance is often presented as “included” in custody, but the way it is structured has a direct impact on cost and protection. Coverage is designed to protect against theft, loss, or damage while bullion is stored in the vault. The critical detail is how insurance is tied to the account type.
- Allocated accounts: Insurance is linked to specific serialized bars. Policies reference barlists, making claims straightforward — if a listed bar is lost or damaged, the insurer pays.
- Unallocated accounts: Coverage is written at the provider’s pool level. If a loss occurs, the payout goes to the provider, who then allocates compensation across all clients. This adds uncertainty for investors, especially in large-scale events.
Hidden costs appear when providers add insurance surcharges without explaining the basis. Some apply premiums that scale with gold’s market value, others mark up coverage as a separate line item on statements. A common trap is “enhanced insurance” — additional protection marketed as optional but bundled into default contracts.
Why it matters
- For institutions, misaligned insurance weakens governance: auditors want to see barlists tied directly to policies.
- For family offices, lack of clarity can undermine intergenerational wealth planning, especially if heirs cannot prove claims on specific assets.
- For private investors, unclear insurance terms can result in paying for coverage that does not truly protect their holdings.
How to manage it
- Request the full insurance policy wording, not just a summary.
- Verify whether coverage references barlists or only total pool value.
- Clarify exclusions: terrorism, political risk, and transport outside the vault are often not included.
Figures and structures vary widely by provider and jurisdiction. Always review actual policy documents before relying on custody insurance.
2.3 Handling and withdrawal charges
Beyond storage and insurance, many custody providers apply transaction-based fees every time bullion moves in or out of the vault. These charges are less visible than annual storage rates but can add up quickly.
Typical handling fees
- Inbound processing: applied when new bars are deposited into custody. Covers verification, weighing, and recording.
- Outbound processing: charged when gold is withdrawn, whether for delivery, sale, or transfer to another vault.
- Reallocation within the vault: some providers bill for moving bars between client sub-accounts or converting pooled holdings into allocated form.
Withdrawal-related costs
- Physical delivery: arranging armored transport or cross-border shipments comes with high logistics and compliance expenses. These are often passed on to the client.
- Minimum withdrawal fees: even small withdrawals can trigger fixed charges, making partial deliveries disproportionately expensive.
- Emergency access surcharges: requests outside normal cycles, such as same-day withdrawals, may carry steep premiums.
Why it matters
- Institutions: frequent rebalancing between vaults or counterparties can generate significant cumulative charges if not accounted for upfront.
- Family offices: withdrawal fees can disrupt liquidity planning, especially when bullion is sold to cover capital calls or lifestyle expenses.
- Private investors: unexpected costs at the moment of withdrawal erode confidence in custody, turning what seemed like a safe store into a financial burden.
How to avoid surprises
- Ask for a complete schedule of handling and withdrawal fees, including minimums and surcharges.
- Clarify whether costs are fixed or percentage-based.
- Model scenarios: what does it cost to withdraw 5%, 25%, or 100% of holdings?
Handling and withdrawal costs are often where “hidden fees” first appear. Providers may advertise low storage rates while relying on transaction charges to increase margins.
2.4 Cross-border transfers and delivery fees
Moving gold across jurisdictions is one of the most expensive parts of custody, and often the least transparent. Providers advertise global networks but rarely highlight the additional charges involved when bullion leaves its primary vault. These fees can transform a simple withdrawal into a significant cost event.
Where the charges arise
- Logistics and transport: armored carriers, security escorts, and customs clearance.
- Regulatory compliance: export permits, taxes, and local duties, which vary widely by country.
- Insurance in transit: coverage is often billed separately from vault insurance and priced according to route and risk level.
- Delivery minimums: some providers require a threshold volume for international transfers, adding hidden barriers for smaller allocations.
Why it matters
- Institutions: cross-border transfers are common when reallocating reserves between hubs like London, Zurich, Dubai, and Hong Kong. If underestimated, these costs can distort annual budgets.
- Family offices: relocating holdings for succession or jurisdictional diversification can trigger unexpected fees that reduce flexibility.
- Private investors: a request for delivery abroad may come with charges far higher than expected, undermining the liquidity of gold as an asset.
Illustrative example
As of mid-2025, global logistics providers quote international armored transport for bullion in the range of 0.20%–0.40% of shipment value depending on route, volume, and insurance conditions (source: industry estimates from major vaulting and logistics firms; figures indicative only). For a $5 million transfer, this equates to $10,000–$20,000 in costs, excluding taxes or duties.
Checklist before agreeing to cross-border delivery
- Request a full cost breakdown: logistics, insurance, customs, and any local taxes.
- Verify whether your custody agreement bundles or excludes international delivery.
- Ask about minimum shipment volumes and how fees change with different destinations.
All figures provided above are for illustration only, based on industry ranges available in 2025. Actual delivery costs vary by provider, jurisdiction, and shipment profile. Investors should confirm quotes directly with their custodian and logistics partner before execution.
2.5 Spread-related charges
Not all custody costs appear as explicit line items. A significant portion of hidden fees is embedded in buy–sell spreads when investors purchase or liquidate gold through the custodian. The wider the spread, the more revenue the provider collects — effectively charging the investor without labeling it as a fee.
How spreads work
- Custodians quote both a bid (buyback) and ask (sale) price.
- The difference — the spread — is their margin.
- While small in percentage terms, spreads compound over multiple trades or portfolio rebalancing cycles.
Where spreads matter most
- Trading activity: frequent reallocations magnify the cost.
- Unallocated accounts: spreads are often less transparent, bundled into liquidity operations.
- Cross-border sales: selling in one market and buying back in another can double the impact if spreads differ between hubs.
Illustrative example
Industry sources (2025 bullion trading desks; indicative only) show spreads for institutional-size trades at 5–15 basis points, while private investors may face 50–100 basis points depending on provider and volume. For a $1 million trade, this can mean anywhere from $5,000 to $10,000 in embedded cost for individuals, versus $5,000–$15,000 for large desks — even if “no custody fee” is advertised.
Why it matters
- Institutions: spreads erode performance in active strategies and should be modeled alongside custody charges.
- Family offices: hidden spread costs can undermine tactical rebalancing or diversification plans.
- Private investors: wider spreads are often the single largest hidden cost, especially when advertised storage appears “free.”
How to manage it
- Request live spread quotes for different transaction sizes before committing.
- Compare spreads across providers — even small percentage differences add up on large allocations.
- Include spread costs in your long-term total cost of ownership model.
Figures above are illustrative and based on typical 2025 industry ranges. Actual spreads vary by provider, jurisdiction, market liquidity, and trade size. Always request real-time quotes from your custodian before executing transactions.
3. Where hidden costs appear
Not all custody fees are presented clearly in contracts. Providers may highlight low storage rates in marketing while embedding additional costs in less visible parts of the agreement. These charges can emerge at moments when investors are least prepared — during transfers, audits, or account adjustments.
Hidden costs usually fall into three categories:
- Charges that appear in the fine print of contracts and schedules.
- Costs that vary depending on whether accounts are pooled or allocated.
- Fees linked to “extras” such as reporting, audits, or delivery services, which are marketed as optional but often unavoidable.
For institutions, identifying these hidden layers is essential to keep governance budgets accurate. Family offices risk long-term planning errors if they underestimate ongoing charges. Private investors are the most exposed: an arrangement that looks “low cost” on paper can become expensive once real-life usage begins.
3.1 Contract fine print
The fine print of custody contracts is often where the most impactful hidden costs are placed. Providers know that investors focus on headline storage rates, so additional charges are embedded in annexes, footnotes, or “standard terms.” These may not be visible until the first billing cycle arrives.
Typical examples
- Minimum annual fees: regardless of account size, investors pay a fixed amount each year, which can make small or medium allocations disproportionately expensive.
- Administrative surcharges: extra charges for statements, digital platforms, or reconciliation services that were assumed to be included.
- Termination clauses: exit fees when closing an account or transferring holdings to another custodian, sometimes calculated as a percentage of the portfolio value.
- Audit participation costs: while providers advertise external audits as a sign of transparency, clients may be billed separately for “audit facilitation.”
Why it matters
- Institutions: fine print charges complicate compliance reporting and distort cost-per-ounce calculations across reserves.
- Family offices: long-term planning is undermined if annual minimums or termination fees are overlooked at the start.
- Private investors: what looked like a straightforward account can quickly turn into a high-cost arrangement when billed extras appear.
Figures above are for illustration only, based on industry practices observed in 2025. Actual fees vary by custodian and jurisdiction. Always review full contract schedules before committing.
3.2 Allocated vs unallocated account charges
The way an account is structured—allocated or unallocated—directly shapes where hidden fees arise. Custodians often promote unallocated accounts as cheaper because storage appears lower, but the cost profile shifts into less visible areas.
Allocated accounts
- Storage fees are usually higher because each bar is individually vaulted, tracked, and insured.
- Costs are transparent: barlists tie directly to custody agreements, and charges scale with the exact weight held.
- Hidden costs can still appear in handling — for example, reallocation or bar substitution fees.
Unallocated accounts
- Storage fees look low, but investors effectively pay through wider spreads, liquidity adjustments, and insurance surcharges.
- Providers sometimes add “conversion from pooled/unallocated to specific serialized bars” charges: when clients request physical bars, extra handling and premium payments apply.
- The lack of direct barlists means audit-related costs may be passed back to clients.
Why it matters
- Institutions: regulators and auditors increasingly require allocated holdings for compliance. Opting for unallocated may trigger higher reconciliation costs later.
- Family offices: the appeal of lower upfront fees in unallocated accounts can be offset by penalties when heirs demand physical delivery.
- Private investors: a promise of “low storage” often turns into unexpected charges when converting to allocated gold or requesting withdrawals.
Figures are for illustration only, based on industry ranges observed in 2025. Actual fees vary depending on provider and account type. Investors should confirm all conversion and handling charges before choosing between allocated and unallocated custody.
3.3 Audit and reporting extras
Audits and reporting are marketed as part of a professional custody service, but in practice they are also a common source of hidden fees. While the existence of independent audits reassures investors, the cost of participating in or accessing detailed audit data is sometimes shifted onto the client.
Where fees appear
- Audit facilitation charges: custodians may bill clients for staff time, documentation, or coordination with external auditors.
- Detailed reporting requests: standard statements are usually free, but anything beyond quarterly summaries — for example, monthly reconciliations or custom formats for regulators — may come with an extra cost.
- Special inspections: ad hoc client requests to verify bars in person can trigger significant fees for vault access, security, and insurance adjustments.
Why it matters
- Institutions: custom reporting formats are often required for regulatory compliance. If billed per request, costs escalate quickly.
- Family offices: heirs and trustees often ask for enhanced transparency. If priced as “premium,” these extras undermine the goal of predictable long-term planning.
- Private investors: even a basic request to see more frequent statements can reveal unexpected charges.
Figures above are indicative, based on industry practices as of 2025. Actual fees vary by provider, jurisdiction, and scope of reporting. Always confirm whether audit participation and enhanced reporting are bundled or billed separately.
3.4 Delivery and settlement charges
Delivery and settlement are moments where hidden costs surface most clearly. Custodians know that investors focus on secure storage, so the pricing of movement and settlement is less scrutinized until the need arises. Yet, these are precisely the points where margins expand.
Delivery-related costs
- Domestic delivery fees: even within one jurisdiction, arranging armored transport from vault to bank or private premises can carry substantial fixed charges.
- International delivery: includes logistics, customs, and insurance surcharges (often billed separately from vault insurance). Providers may not disclose these until a transfer is requested.
- Emergency delivery premiums: requests outside scheduled cycles, such as short-notice withdrawals, may come with steep multipliers.
Settlement-related costs
- Execution spreads: when custodians act as counterparties for buy–sell orders, hidden fees appear in the form of wider bid–ask spreads.
- Cross-border settlement: moving bullion between markets like London, Zurich, or Dubai introduces additional reconciliation and FX conversion charges.
- Partial settlement penalties (fees for settling in lots smaller than standard bar sizes): some providers penalize clients for small lot settlements instead of full bar deliveries, embedding hidden costs in flexibility.
Why it matters
- Institutions: global trading desks often rotate bullion between hubs. Unexpected settlement fees can skew performance models and complicate regulatory reporting.
- Family offices: deliveries across jurisdictions for heirs or trustees may carry costs far higher than anticipated, weakening the value of gold as a portable store.
- Private investors: those relying on gold as a liquidity buffer may find that high delivery costs limit practical access to their holdings.
Figures are illustrative, based on industry data as of 2025. Actual delivery and settlement costs depend on provider, jurisdiction, shipment size, and timing. Investors should request written quotes for all delivery and settlement scenarios before committing to custody agreements.
4. How to identify hidden custody fees
Recognizing hidden custody fees requires more than reading the headline rate in a brochure. These charges are usually buried in annexes, bundled into “standard services,” or triggered only in specific scenarios such as delivery or liquidation. A systematic approach is the best defense: investors need to know where to look, what to ask, and how to verify whether a contract truly reflects the cost of custody.
At a practical level, there are four areas that expose hidden fees most often:
- Careful reading of contracts and schedules.
- Understanding account structures and their cost models.
- Modeling scenarios to test how fees apply in real life.
- Comparing providers to benchmark transparency.
Each step allows investors to move from assumptions to clarity. Institutions avoid budget distortions, family offices protect intergenerational planning, and private investors preserve the safe-haven role of gold.
4.1 Reading and questioning contracts
Contracts are where the economics of custody are defined, yet many investors skim them, focusing only on the headline storage rate. This is the moment when hidden costs slip through. A disciplined review of the contract and its annexes is the most effective way to prevent surprises later.
What to look for
- Minimum fees: clauses that guarantee the provider a fixed annual amount, even if the percentage rate suggests otherwise.
- Bundled services: wording like “standard charges” can mask multiple smaller costs that will appear separately on invoices.
- Exit conditions: termination or transfer fees buried in the fine print can significantly raise the cost of switching custodians.
- Audit and reporting obligations: verify whether you are billed for participation in external audits or for requesting enhanced reports.
Questions to ask providers
- What is the minimum annual fee, and how is it applied to small or medium accounts?
- Are reporting, statements, and audits included in the quoted fee, or billed separately?
- What are the costs for account closure, transfers to other custodians, or upgrades from pooled to allocated storage?
- Can I see a complete fee schedule — not just the marketing summary?
Figures are illustrative, based on common industry practices in 2025. Actual contracts and fee structures vary widely by provider and jurisdiction. Always request and review the complete schedule of charges before signing.
4.2 Analyzing account structures
The type of custody account an investor selects—allocated, unallocated, or pooled—directly determines where hidden fees accumulate. Providers use account structures both to segment clients and to shape revenue models. What looks like a cost advantage in one format often translates into higher charges in another part of the relationship.
Allocated accounts
- Bars are individually numbered and tied to the client.
- Fees are usually higher upfront, covering vaulting, barlist management, and insurance.
- The hidden risk lies in handling: substitutions, reallocations, or withdrawals of specific bars may trigger extra charges not visible in the headline rate.
Unallocated accounts
- Marketed as the cheapest option, but costs are hidden in spreads, insurance premiums, and conversion charges when investors request physical delivery.
- Providers sometimes impose fabrication fees or premium mark-ups at the moment of allocation.
- Investors may face costs for reconciliation when audits reveal gaps between pooled balances and physical inventory.
Pooled accounts
- Combine multiple investors’ bullion in a single pool, often priced attractively.
- Hidden charges appear in exit scenarios: withdrawals may require buying out specific bars, which exposes investors to extra spreads and logistics costs.
- Audit participation or proof-of-ownership requests may also be billed separately.
Why it matters
- Institutions: governance standards increasingly favor allocated custody, but budgets must factor in the higher and more transparent costs.
- Family offices: a hybrid strategy often involves both pooled and allocated holdings; failure to model fees across account types can erode the benefits of diversification.
- Private investors: “cheap” pooled or unallocated accounts can become costly once delivery or inheritance triggers conversion to allocated form.
Figures are illustrative, based on observed industry practices in 2025. Actual fees vary by provider, account type, and jurisdiction. Investors should analyze account structures in detail before committing.
4.3 Modeling real-life scenarios
Contracts and fee schedules rarely show the true cost of custody in practice. The only way to understand impact is to model scenarios that reflect how gold will actually be used. Running numbers under different conditions exposes hidden charges and clarifies the real cost of ownership.
Scenarios to test
- Partial withdrawals: calculate fees for taking out 5–10% of holdings. Many custodians apply fixed withdrawal charges that make small transactions disproportionately expensive.
- Cross-border transfers: simulate moving gold from one vault to another (e.g., Zurich to Dubai). This reveals transport, insurance-in-transit, and regulatory costs that are often excluded from marketing rates.
- Allocation changes: model conversion from unallocated to allocated gold. Providers may add fabrication, handling, and insurance surcharges that transform a “cheap” account into a costly one.
- Emergency access: estimate fees for expedited withdrawals or same-day deliveries. These premiums can multiply baseline costs several times over.
Why it matters
- Institutions: scenario modeling ensures reserves can be rebalanced without budget shocks.
- Family offices: helps test liquidity strategies across generations, avoiding hidden costs during inheritance or relocation.
- Private investors: shows whether small withdrawals or unexpected sales will erode returns.
Figures above are illustrative, based on industry practices observed in 2025. Actual costs vary by provider, jurisdiction, and account type. Investors should run tailored scenarios with their custodian before committing to agreements.
4.4 Comparing providers
The final step in identifying hidden custody fees is benchmarking providers against each other. A single offer rarely shows the market standard, and without comparison it is difficult to separate fair pricing from embedded margins. Even small differences in structure can accumulate into large cost gaps over time.
How to compare effectively
- Request full schedules: ask each provider for complete fee tables, not marketing summaries.
- Normalize scenarios: compare fees for identical conditions — same asset value, same jurisdiction, same withdrawal amount.
- Look beyond storage rates: include handling, insurance, delivery, spreads, and reporting charges in the calculation.
- Test lifecycle costs: model entry, annual holding, and exit to capture the total cost of ownership.
What to watch for
- Providers offering unusually low storage rates often recover margins through spreads or withdrawal charges.
- Some institutions bundle insurance into storage, while others add it as a separate percentage.
- Reporting quality differs: a cheaper provider may issue only minimal statements, while another includes comprehensive reporting in the headline rate.
Figures above are illustrative, based on industry ranges observed in 2025. Actual fees depend on provider, jurisdiction, and account profile. Investors should always compare providers using identical scenarios to reveal hidden costs.
5. How to avoid hidden custody fees
Avoiding hidden custody fees is less about chasing the lowest quoted rate and more about building transparency into every stage of the custody relationship. Investors need a framework that starts before signing the contract and continues through the life of the account. The goal is not just to reduce costs but to ensure that gold performs its role as a secure and predictable asset.
There are three pillars that support this approach:
- Negotiating transparent agreements — pushing providers to disclose all line items clearly.
- Ongoing monitoring — reviewing invoices, reports, and fee schedules regularly.
- Strategic diversification — using multiple providers or account types to balance costs and reduce exposure to hidden margins.
By applying these principles, institutions protect compliance budgets, family offices preserve wealth across generations, and private investors maintain the safe-haven value of their holdings without unexpected erosion from fees.
5.1 Negotiating transparent agreements
The foundation of avoiding hidden fees is set before custody even begins: at the negotiation stage. Custodians expect investors to focus on storage rates, which is why every other charge must be surfaced through direct questioning and explicit documentation. A transparent agreement is not just about legal protection — it sets the tone for the entire client relationship.
Steps to negotiate effectively
- Demand itemized schedules: insist that every cost category — storage, insurance, handling, delivery, reporting, spreads — is shown separately.
- Address minimums upfront: clarify whether annual or transaction minimums apply and ensure they are proportional to expected holdings.
- Lock audit and reporting terms: confirm whether standard audits and statements are included, and fix any extras in writing.
- Define exit conditions: specify the costs of account closure, transfer, or conversion from unallocated to allocated custody.
Why it matters
- Institutions: regulators look for cost transparency in reserves; an opaque contract weakens compliance credibility.
- Family offices: heirs and trustees need predictable terms that survive succession; unclear exit clauses create long-term friction.
- Private investors: clarity prevents shocks when requesting withdrawals or deliveries years later.
Figures above are indicative and based on industry practices observed in 2025. Actual terms depend on provider, jurisdiction, and account size. Always negotiate written, itemized agreements before signing.
5.2 Ongoing monitoring
Even the best-negotiated agreement loses value if investors stop paying attention once custody begins. Providers update fee schedules, adjust insurance terms, and introduce new surcharges quietly over time. Regular monitoring ensures that changes are caught early and addressed before they erode returns.
Practical steps
- Review invoices line by line: compare billed charges to the signed schedule, and flag any additions or changes.
- Request annual fee confirmations: ask custodians to reissue a full cost schedule each year, including updates to insurance or handling.
- Track spreads and execution costs: if buying or selling through the custodian, record spreads to see if they widen over time.
- Audit reconciliation: verify that fees listed in financial reports match internal accounting and governance requirements.
Why it matters
- Institutions: accurate monitoring prevents distortions in reserve accounting and regulatory filings.
- Family offices: heirs and trustees rely on consistent reporting; hidden surcharges disrupt long-term plans.
- Private investors: spotting creeping charges early allows renegotiation or switching providers before costs compound.
Figures are illustrative, based on industry cases observed in 2025. Actual outcomes depend on provider practices, jurisdiction, and client oversight.
5.3 Strategic diversification
Relying on a single custodian may appear convenient, but it concentrates both cost and counterparty risk. Diversification—across providers, account types, or jurisdictions—creates leverage for negotiation and reduces exposure to hidden margins.
Forms of diversification
- Multiple custodians: splitting holdings between two or more providers allows benchmarking of invoices and service quality. If one begins adding surcharges, the other sets a reference point for fair pricing.
- Account mix: combining allocated and pooled accounts balances cost and liquidity. Allocated gold secures legal ownership, while pooled or unallocated holdings may serve for tactical trades at lower upfront cost.
- Jurisdictional spread: holding gold in different regions protects against regulatory shifts, tax changes, or operational bottlenecks in one hub.
Why it matters
- Institutions: spreading reserves across London, Zurich, and Dubai ensures continuity of liquidity and competitive pricing.
- Family offices: heirs avoid being locked into one custodian’s fee model, making succession planning smoother.
- Private investors: diversifying providers reduces dependence on a single set of terms that could tighten over time.
Figures above are indicative, based on market practices in 2025. Actual savings and benefits vary by provider, account type, and jurisdiction. Investors should run tailored diversification models before restructuring custody.
6. Conclusion and notes for US IRA investors
Gold custody delivers its value when the cost structure is transparent, predictable, and aligned with the investor’s objectives. Hidden fees—whether in contracts, handling, insurance, or delivery—erode that value over time and weaken gold’s role as a stabilizer. The safeguard is discipline: demand itemized agreements, review invoices regularly, and model real-world scenarios before committing.
Key takeaways
- Request complete, itemized fee schedules from the start.
- Check how insurance is tied to barlists, not just pool balances.
- Test delivery, withdrawal, and allocation changes to see the real cost.
- Benchmark providers against identical scenarios to expose hidden margins.
- Diversify custodians and jurisdictions to avoid dependency on one model.
IRA note (for US investors)
Precious metals IRAs follow the same custody principles but add another layer of costs: setup, annual administration, storage, transaction, and distribution fees. These can significantly impact long-term returns if overlooked. Investors should request full fee tables from both custodians and administrators, model rollover costs, and account for required minimum distributions when projecting expenses.
This article provides general information only and should not be considered tax, legal, or investment advice. Investors should consult qualified advisors for IRA-specific rules and compliance requirements.