Texas to establish a State-run PM depository

Mesquite

TX gold

In its purest form I think this is a great move on the part of Texas lawmakers. However, as we all know, there are questions regarding the amount of gold remains in Ft. Knox. Could a similar situation develop with the proposed TX State depository? Not if there is true transparency regarding the State's gold-on-hand (i.e. regular audits). We will see how honest future lawmakers are down the road.

BTW, I like former Gov. Perry's comment about taking possession.

derryb

Texas will be storing privately owned gold. The state of Texas does not own any gold on behalf of it's taxpayers. Transparency only becomes an issue with the owner of the gold. The gold held in Ft. Knox ultimately does belong to the citizens as it is part of the national "assets."

It will be surprising if state taxpayer money is allowed to be used to build and run a private gold storage facility. Hopefully, if state owned, the facility will be self supporting and even profitable.

gsa1fan

That is the LAST state I'd put anything into! Boomer Sooner

ricko

I may be a tad paranoid, but just do not like the idea of someone else holding my gold....Cheers, RickO

gsa1fan

<< <i>I may be a tad paranoid, but just do not like the idea of someone else holding my gold....Cheers, RickO >>



I agree but also I will never have that much to ever worry about "storage". I think UT has a huge gold holding, I read years ago on this forum.

BAJJERFAN

<< <i>I may be a tad paranoid, but just do not like the idea of someone else holding my gold....Cheers, RickO >>



Especially a Government entity.

guitarwes

Too close to Meh-he-ko........

PerryHall

<< <i>That is the LAST state I'd put anything into! >>



Why the dislike of Texas? I can think of a few very blue states run by far left politicians that believe in the redistribution of wealth. That said, I don't want any third party holding my gold. Also, the government (state or federal) should not be in the gold storage business or provide any service that can be performed by the private sector..

Mesquite

<< <i>Texas will be storing privately owned gold. The state of Texas does not own any gold on behalf of it's taxpayers. >>



Neither of those statements is true. Both the State and the University of Texas Investment Management Co. hold at least a portion of the State's retirement system funds in gold.

Here is a link to the bill if anyone's interested. Here

derryb

<< <i>

<< <i>Texas will be storing privately owned gold. The state of Texas does not own any gold on behalf of it's taxpayers. >>



Neither of those statements is true. Both the State and the University of Texas Investment Management Co. hold at least a portion of the State's retirement system funds in gold.

Here is a link to the bill if anyone's interested. Here >>


University of Texas Investment Management Co. is a 501(c)(3) corporation contracted by the University of Texas to manage and invest it's funds. The investments of the university are property of the university and are not public funds. This is not taxpayer owned gold as is the gold in Ft. Knox.

As noted in the bill "DEPOSITS AND RELATED ASSETS NOT SUBJECT TO LEGISLATIVE APPROPRIATION," primarily because they are not state funds. The state of Texas and the citizens of Texas do not have a claim on UTIM's private holdings.

While a Texas bullion depository could hold any future gold purchased by the state of Texas with taxpayer money, it is initially being set up as a something like a state owned bank to handle private deposits.

Mesquite

You may well be right on this issue. I just looked at the portfolio of investments for TRS (the State teachers retirement fund) and found that while there is 150 some-odd pages of funds listed (including gold and silver stocks), 0% is allocated to physical metals.

gsa1fan

<< <i>

<< <i>That is the LAST state I'd put anything into! >>



Why the dislike of Texas? I can think of a few very blue states run by far left politicians that believe in the redistribution of wealth. That said, I don't want any third party holding my gold. Also, the government (state or federal) should not be in the gold storage business or provide any service that can be performed by the private sector.. >>



I'm an Okie~I'm sure OP understands and feels same way towards Oklahoma. Jus a football thing

Mesquite

As they say, Oklahoma is .... OK.

TwoSides2aCoin

One of my friends who had precious metals in his IRA portfolio cashed it out a few years ago when gold hit about $1800, IIRC.
My job was to bid on the gold, and send the paperwork off to the repository. The deal went very smooth through the New York affiliate.
If Texas could do it as fluidly as the people I dealt with, then those bonded / insured who wish to take it on in the great state of Texas ought do so. Spread that wealth around. No sense in not spreading the good news. The government does allow certain Numismatic/Bullion items in IRAs. Just saying…
On the other side of that coin, I have several friends who wish to participate this way and purchase gold this way and have it held in such a place as to "feel safer". And so if you're ONE of them gurus, please PM me. I've got a few customers waiting.

Good news. It's closer to home.
Only thing I don't understand is the inference to Ft. Knox ? These repositories are not like your mom and pop shop , nor Ft Knox. I served there.
Anyway, thanks for the report. I'm interested in this , as a viable package of services in my business… Because THEY are on the up and up. I know first hand.
It's more paperwork. Red Tape still pays green currency. The American Gold Eagles I purchased were 2010 One Ounce Coins, as I recall. They were beautiful. I flipped 'em quick.

derryb

References to Ft. Knox concerned transparency. Will the University of Texas be able to periodically confirm that their gold is really in the state's depository?

TwoSides2aCoin

<< <i>References to Ft. Knox concerned transparency. Will the University of Texas be able to periodically confirm that their gold is really in the state's depository? >>



I think so, but the bond is between the "depositor" and the repository. If the State, Federal Governmen, IRS want then this window is open. I think there are some work arounds for the state maybe, but I don't see where or how this would be a problem any more than Tesla selling a car in another state. But that's my simple mind thinking.

MsMorrisine

<< <i>

<< <i>I may be a tad paranoid, but just do not like the idea of someone else holding my gold....Cheers, RickO >>



Especially a Government entity. >>



+10

jmski52

Gold? What gold?

TwoSides2aCoin

<< <i>

<< <i>

<< <i>I may be a tad paranoid, but just do not like the idea of someone else holding my gold....Cheers, RickO >>



Especially a Government entity. >>



+10 >>



Uncle Sam's been carrying our balls since 1776.
…. And may the 4th be with us all, on the next float up.


Who's on first ? The LONE STAR STATE …. forget the past. Forget the Alamo. It's just a HOUSE for stuff.
Who's worried about it ? ON PAPER it grows, too. And a repository gets a cut for housing it. And when it's time to sell it, the middle man always gets a cut.
A person can hold his own. That's a fact. We send the boys off to fight the war on paranoia, too. When a guy needs to have his hands on his own stash, that's great.
But (side bar here)

One of my friends, who is an attorney, told me recently that someone broke into his place and got about 7 ounces of gold.
That _ _ _ _ won't happen if it's in a repository, electronically recorded (on paper, growing or not in value ) It's safe. (the gold, that is)
Those electronic dollars are another story. The tax implications are always in "real dollars". But that's minimal loss as opposed to a total loss.

Mesquite

A more recent article, expanding on the first. I like it!

Texas gold