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Lord Rothschild Fund Joins World Gold Council To Put 12.5 Million into Bullion Vault

http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/7842235/Lord-Rothschild-fund-joins-World-Gold-Council-to-put-12.5m-into-BullionVault.html
Investment demand for gold has risen on concerns that sovereign debt problems could spread Tim Levene of Augmentum Capital, a fund backed by Lord Rothschild's RIT Capital Partners, said the investment was not a bet on the gold price but on "the future growth of the BullionVault platform", which stores physical gold for private clients in London, New York and Zurich. RIT currently has 9pc of its assets in physical gold.

Investment demand for the metal has risen on concerns that sovereign debt problems could spread and the value of currencies plunge. The gold price hit a new nominal all-time high above $1,260 on Friday and analysts expect the price will continue to rise.

Marcus Grubb, managing director of investment at the World Gold Council, said taking the BullionVault stake was part of the Council's strategy of "increasing its portfolio of successful platforms for gold investment". Mr Levine and Mr Grubb will join BullionVault's board.

BullionVault has about $800m (£540m) of gold under management for 20,000 customers from more than 90 countries. The average holding is around £30,000.

The World Gold Council's previous investment vehicle, a gold exchange-traded fund, now has 1,306 tonnes of the metal under management, worth $52.3bn. This makes it the world's second-largest exchange-traded fund. If the fund was a central bank, it would be sixth largest in the league table of gold holders.

Lord Rothschild In Gold - Financial Times Reports June 17, 2010

http://www.ft.com/cms/s/0/b00a26c8-79a6-11df-85be-00144feabdc0.html
Rothschild in gold
By Emiliya Mychasuk and Emiko Terazono

Published: June 17 2010 03:00 | Last updated: June 17 2010 03:00

Lord Rothschild has returned to equity markets for higher rates of return, through his RIT Capital investment vehicle.

But RIT is hedging its bets by holding a stash of gold and remains conservative in its investment choices.

"We face . . . an outlook and an uncertainty unlike much that we have been used to," the 74-year-old investor warns in the latest RIT report.

In a search for returns, RIT lifted public markets exposure to a peak of 82 per cent, from 37 per cent a year ago. It bought commodities and more cyclical companies, as well as developing markets and currencies. Ahead of the May markets slump, it favoured cash-rich companies with a global spread. Currency plays helped significantly, as RIT cut back on sterling and euros and lifted dollar and dollar-pegged Asian currencies.

But Lord Rothschild kept "significant" stores of gold and gold shares "for defensive reasons" - gold made up 9 per cent of net assets by this June.

As for specific stocks, RIT was caught with a £28m stake in Transocean, operator of the ill-fated BP oil rig. It was a one-time investor in BSkyB but sold in 2009, soon after Lord Rothschild left the board he had joined to smooth the way for James Murdoch.

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Many Expert Researchers & historians believe The Rothschild Banking dynasty is the still the richest family in the world. I suspect that he has a whole lot more than 9 percent of his holdings in gold. Lord Eveyln Rothschild used to run the LBMA (London Bullion Market Association) and set the daily price of gold. He is one the main reasons gold prices remain suppressed. Here is the Wikipedia Article on The Rothschild Banking Dynasty remember Wikipedia is a highly regulated community http://en.wikipedia.org/wiki/Rothschild_family.