Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Quote  |  Bullboard  |  News  |  Opinion  |  Profile  |  Peers  |  Filings  |  Financials  |  Options  |  Price History  |  Ratios  |  Ownership  |  Insiders  |  Valuation

Goldmoney Inc T.XAU

Alternate Symbol(s):  XAUMF

Goldmoney Inc. is a Canada-based company, which specializes in the investment and custody of enduring real assets. Through its subsidiaries, the Company offers precious metals trading services to clients, including secure custody and storage solutions. It also maintains diversified interests in property investment and jewelry manufacturing. The Company’s segments include Goldmoney.com, and Goldmoney Properties Limited. The Goldmoney.com segment is an online platform that provides clients with access to their Holding to purchase and sell physical precious metals and arrange for their custody and storage. Goldmoney Properties Limited is a United Kingdom-based entity established to acquire long-life property assets with secure long-term income streams. Goldmoney Properties Limited owns six properties totaling 423,087 square feet (GIA) with annual contracted net rental income of £6.8 million ($11.8 million). Its subsidiaries include Goldmoney BVI Inc., Goldmoney Vault Inc., and others.


TSX:XAU - Post by User

Bullboard Posts
Comment by zentrarianNZon Oct 13, 2015 2:45am
108 Views
Post# 24186094

RE:What Happened to Good-old Synergy ?

RE:What Happened to Good-old Synergy ?GoldMoney doesn't rely on "storage fees" for profits - unless maybe you think Brinks, Viamat, G4S and Malca-Amit are happy to store GoldMoney's clients' metal for nothing. They make their profits from transaction fees, like every other bullion dealer. And they aren't domiciled in the Isle of Man, which by the way is no where near the Channel Islands, but in Jersey, which (unlike Man) is an international entity separate from the UK.  I'm sure you will say, "What difference does that make?", but the point is your failure to get even simple facts straight casts doubt on the more opinionated aspects of your numerous posts.

According to other more knowledgable posters here, BitGold is near to (or perhaps already making) a small profit, which is actually quite remarkable considering the startup costs they must be dealing with. Digitally-based enterprises cannot usually be expected to be turning a profit until their systems and customer base are well-established and their biggest capital expenditures are behind them, after which maintenance costs become almost negligible. That, after all, is the beauty of the business model.

I'm not as bullish on the combined company's prospects as a lot of posters here, but I think is absurdly premature to claim that BitGold "cannot be profitable." And there are many ways in which the combined entity can benefit from synergy.

The statements about keeping the two parts "separate" is in response to many GoldMoney clients' initial concerns about their vaulted metal becoming mingled with BitGold deposits, or possibly even being used to bail out BitGold if it gets into financial difficulty. Managements' reassurance that this will not ever happen may not satisfy everyone, but it must be satisfying most, because AFAIK GoldMoney did not experience any sizable loss of customers following the merger.

I agree that GoldMoney probably got more out of the deal than BitGold, and least initially. But these guys aren't dumb and they sure as hell aren't a charity. They obviously anticipate synergies that you - and maybe most of us - can't yet see. And even if they are wrong, I don't see any big harm in the experiment. I certainly wouldn't put more than a small, speculative portion of my portfolio in the stock. But if you are going to invest in a company like GoldMoney, you have to be something of a visionary yourself or else you will miss the whole poiint of what they are trying to create.

Bullboard Posts