Royal Mint to allow savers to invest in gold without buying bullion

The 1,100-year-old coin maker will allow savers to invest in gold without actually having to buy bullion, putting their money in a tracker fund which is traded on the stock market.

The value of that tracker fund will be backed by real gold, locked away in The Royal Mint’s high-security vault close to Cardiff Airport.

By buying a unit of the fund, investors will be buying a share of that pile of gold. The value of their investment will fluctuate as the price of the gold goes up and down. This so-called exchange-traded commodity (ETC) is The Royal Mint’s first foray into listed financial products, and begins trading in the UK, Italy and Germany next year.

Gold is growing in popularity, as the metal is widely perceived a safe haven in which to invest during times of market uncertainty.

Chief executive Anne Jessopp said: ‘This marks an exciting new chapter for The Royal Mint, and for the historic business of gold trading.’