Hello. We do guarantee to buy back the gold that you hold in your HelloGold account.

As for physical gold, there are a few factors that are included when it comes to redeeming physical gold such as bar size and location to be delivered to. I believe I had explained it in details in a post previously.

When it comes to cash withdrawals, it is done via Online banking utilizing FPX. When you buy gold, you are buying fractions of a gold bar that we have bought before hand. Therefore your money is always in an account. This is the same account we use for dispensing cash for cash withdrawals.

All our customer's gold is backed by physical gold, hence why we are Syariah compliant by Amani Advisors.

We have been around since 2015 and we have been put in an accelerator program by Finlab, a collaboration between UOB and SGInnovate in Singapore. We have also won awards internationally as well. We are most definitely not a scam. Our customers have bought, sold, withdrew cash and redeemed physical gold.

Cheers

This post has been edited by Joshua_ambrose: Feb 19 2020, 04:47 PM

Hi there. All we would need to see in the photo of your bank statement are the following:
1) your name
2 the name of your bank
3) your bank account number

We do not need to see the details of your transactions in your bank account. I do hope this clarifies. Thank you.

Good morning. We are operating as usual. Our Customer Service team will be working as usual (9am-6pm) Monday-Friday except on public holidays.
Thank you

Hello. As some of you are aware, recently there has been an uplift on the price to purchase physical gold in the HelloGold app. Do have a look at the Physical Gold Shortage article to understand why this has happened and how this shortage is affecting the physical gold market. We at HelloGold hope that this shortage issue will be overcome soon so that we can normalize the fees. Thank you

This post has been edited by Joshua_ambrose: Mar 20 2020, 09:28 AM

Paper gold is not necessarily backed by physical gold. There are many articles online which you can read to understand the difference between paper and physical gold.

This is the first time we have had to include a premium when buying and selling gold.

Hello everyone. With the shortage of physical gold these past few days, we have had to take into account the premium that was imposed on physical gold. You would have noticed a couple of things:

1) We introduced a premium on the buy and sell transaction which varied periodically which was displayed as part of our fee even though it is not part of our fee. We are working to fix this UX/UI in our app so that the information more accurately reflects the costs
2) The gold price in our HelloGold app increased from the price quote on the spot market to the price quoted on physical

Allow me to explain both points above simultaneously. The premium and the increase of gold price displayed in app worked hand in hand.

As an example:
When our bullion partner has a 15% spread between buy and sell where the sell price was at Rm210 per gram, the buy price was RM241.50 (210 * 115%)

We made the decision to continue to display the midprice on the app as we have always done. In this case, it was RM225.75 [(210 + 241.5)/2)]. We did this because this was equitable to both buyers and sellers

If you wanted to buy gold, the price would be RM225.75 + market premium of 6.98% [(((241.5-225.75)/225.75)*100)] + our fee of 0.79%

The same formula was used for a sell, the price would be RM225.75 - market premium of 6.98% - our fee of 2%

We have now changed the weightage in light of the feedback that we have received. What we are using the same example is as follows

Our display price will not be the midprice (RM225.75) as previously but it will be our sell price (RM210)

So if you are buying gold, the transaction will be RM210 + market premium of 15% + our buy fee of 0.79%. Conversely if you sell gold, the transaction will be RM 210 - market premium of 0% (or as close as because the algorithm wasn’t designed to factor in market premium which is a longer term fix) - our sell fee of 2%

Please also bear in mind that the premium will continue change and we will be updating it regularly.

We hope that the shortage would end soon which would allow us to remove the premium and revert to our current standard transaction fees for buy (0.79%) and sell (2%).

Thank you

This post has been edited by Joshua_ambrose: Mar 20 2020, 08:33 PM

We have always said that gold is not a something you make quick gains with. It is for long term savings. If the market does shift quickly and you do make fast gains, then that's awesome.


I am genuinely interested to understand your plight with regards to saving with HelloGold. Could you kindly elaborate what you mean by "the results are very "painful" '?

I would like to understand as to why you say that saving in gold with HelloGold should be avoided? This would provide me with some insight into our customer's perception of our product and offering.


As mentioned in the earlier post about the premium, it was something that was very sudden which was out of our control. In no way were there additional costs incurred by our customers that contributed to the revenue of HelloGold during that period where the premium was charged. I believe the previous post did show the calculations and methodology we adopted to balance things. Rest assured that in light of all the feedback we received from our customers, we did decide to show the premium only on the buy gold transaction which would show a wider spread moving forward. This spread does include the premium for physical gold charged. For those of you who have not read on why there is a premium, please click here

Thank you

This post has been edited by Joshua_ambrose: Mar 21 2020, 07:22 PM

Hello. I completely understand but it really is dependent on many factors such as, but not limited to, the rate of gold price movement, the amount of time your gold is held and also if a premium is charged at any point. It is really difficult to provide a specific answer to that when there are multiple variables involved.

This post has been edited by Joshua_ambrose: Mar 21 2020, 07:49 PM

If the price is stagnant, where the spot price is the same, there would not be a break even point until the sell price increases. As to the percentage of how much it should increase to make a profit, it would also depends on how fast it increases as well.

Ok...extended question to make my brain work on a Saturday evening No worries. Lemme provide you with examples of if the price were stagnant as per your question and I will take a real scenario from 21st Dec 2018 (15 months) :


Your Scenario : -

Closing gold price on 21st Dec 2018 = RM171.65
Assumption is that price did not change
If he bought RM10,000 worth of gold that that point and stored it with us for 15 months and decided to sell it today, assuming today is a week day, after deducting all cost, he would be able to sell all his gold for Rm9,479.51+-

Real Scenario (with the assumption that today is a weekday): -
Closing gold price on 21st Dec 2018 = RM171.65
Price today is Rm209.21
If he bought RM10,000 worth of gold that that point and stored it with us for 15 months and decided to sell it today, assuming today is a week day, after deducting all cost, he would be able to sell all his gold for Rm11,553.79+-

I hope this helps.

This post has been edited by Joshua_ambrose: Mar 21 2020, 08:30 PM

The spread is the percentage between the buy and sell price. Normally, our spread consist of 0.79% buy fee and 2% sell fee. For storing gold, there is an Administrative fee of 2% per year that we prorate on a daily basis. The reason for a higher spread (9.09% at some point) recently was due to a premium that we had to accommodate to because of a shortage of physical gold. You can read about it here

Thank you

Hello. As mentioned before, it is difficult to provide a specific break even percentage due to multiple factors. To simplify it, if your total cash received upon selling your gold covers the price you paid for the gold, the buy fee ( 0.79%), sell fee (2%) ,the administrative fee for the Y days you held gold [((2%/365 days) x (Y days))x amount of gold held)] and including the premium charged (if any), then you would find the break even point.

I do hope this helps.

This post has been edited by Joshua_ambrose: Mar 21 2020, 08:59 PM

Hey there. As mentioned in my scenario, I took the price from 15 months ago and compared it to if the price stayed stagnant and also showed the real world situation without any price assumptions. Please do let me know which part you are confused about and I would be happy to clarify those issues for you.

As for the 'new rate', I believe that I had explained why the premium that was introduced. You can find details of why the premium was introduced here

*FYI, there is no premium for selling gold.

Hello. Allow me to break this down:
1) we do not stop people from buying gold. There is a premium and should someone choose to buy it, it is at their discretion. HelloGold is not short on physical gold supply. It is the shortage of the physical gold market. You can read about it here
2) the premium charged was not initiated by us but rather billion providers

Of course you are more than welcome to ask any questions you would like and we will surely respond to you.

Cheers

This post has been edited by Joshua_ambrose: Mar 21 2020, 11:16 PM

Hello. If you were to buy now, when there is a physical gold shortage, there would be a premium for purchasing physical gold and that premium changes periodically according to our physical gold supplier as mentioned before. Please have a look at the link here to understand further. This premium does not constitute to our revenue but it goes to our physical gold supplier. However, there is no premium on sell. Can I know where did you get your calculation of "NEW RATE IS 5.79% BUY, 2% Maintenance, 2%+0.3% SELL" from please?

Thank you

Good morning. Our administrative fee is 2% annually, calculated based on the number of days you keep your gold in HelloGold. The administrative fee has not changed.

Hello,
If there was no premium charged by our supplier to begin with, it would still be at the 'old rate' meaning that there would not be the additional premium when you buy gold. That is the only factor which is causing the higher price when you buy gold now.

As we have stated many times before, gold is for long term savings and not for fast gains. Just to let you know, we do not charge 5.5% sales charge. Our Sell Fee is 2%.
I am curious as to your statement that our platform is 100% more costly. Can I know to what are you comparing our platform with please? Thank you

Ahh I see. Well, in all honesty the premium is indeed out of our control and we are hoping that this physical gold shortage is overcome soon. We will surely remove the premium on our side as well when this happens.

Thank you for clarifying.

Thank you so much for understanding. The moment the premium is lifted, we will surely inform everyone about it.

Good morning all. Just to clarify things, there is no market premium charge when you sell gold via HelloGold. The premium is applicable when you buy gold.