You can review a copy of the Prospectus, the Annual Information Form and other documents in the Financial Reports, Filings & Forms section of our website.

BMG Funds use RBC Investor Services Trust, for all their back office administration and reporting

The BMG Funds’ assets are held in allocated storage and insured and are not subject to seizure by creditors of either the Custodian or of the BMG Funds’ Manager. The Custodian cannot appoint a Sub-Custodian without approval of the Manager.  A Sub-Custodian would have to meet requirements set out in National Instrument 81-102. The Custodian has no authority to lease or encumber any of the BMG Funds’ assets.  The BMG Funds’ precious metals cannot be co-mingled with The Bank of Nova Scotia’s holdings or the Bank’s other clients. As a mutual fund trust, the BMG Funds are a separate legal entity whose assets are separate and distinct from the fund management.

In the unlikely event that RBC Investor Services Trust operating as RBC Investor & Treasury Services (RBC I&TS) as custodian for the BMG Funds became insolvent; the assets of the BMG Funds would not be available to its creditors. In that scenario, the trustee would simply appoint another Custodian and move the BMG Funds’ assets to the new Custodian’s designated facility. If the BMG Funds’ manager, BMG Management Services Inc. (BMS), became insolvent the BMG Funds’ assets would stay in place and would not be subject to seizure by any creditors of BMS. A new trustee/manager would be appointed or the BMG Funds can be wound up, with the proceeds distributed to its unitholders.

If, for some reason, the BMG Funds were wound up, the assets would be sold and the proceeds distributed to unitholders after expenses of the BMG Funds were paid. None of the liabilities of BMS could be paid with these proceeds. The BMG Funds’ expenses might include trustee fees, accounting costs, storage cost and insurance. Unlike traditional liquidations, there would be no distress discount due to a forced liquidation of the bullion.  The precious metals would still be worth the prevailing spot price, thereby retaining their value to unitholders.

Because of the high degree of liquidity in precious metals, there is little risk of the BMG Funds losing value if there is an excess of redemptions or any risk of suspension of redemptions.  Precious metals trade 24 hours a day around the world and are as liquid as US dollars. 

CIPF Members are Dealer Members of the Investment Industry Regulatory Organization of Canada (IIROC). In the unlikely event that the Member you are dealing with becomes insolvent, CIPF will ensure the securities, cash and other property that are held in your account are returned to you in accordance with their Coverage Policy.

Yes. The FundSERV Codes are:

BMG BullionFund

• A Class units, CDN$: BMG100 (A-FE)
• A Class units, CDN$: BMG104 (A-LL)
• A Class units, US$: BMG101 (A-FE)
• A Class units, US$: BMG105 (A-LL)
• F Class units, CDN$: BMG600
• F Class units, US$: BMG601

BMG Gold BullionFund

• A Class units, CDN$: BMG200 (A-FE)
• A Class units, CDN$: BMG204 (A-LL)
• A Class units, US$: BMG201 (A-FE)
• A Class units, US$: BMG205 (A-LL)
• F Class units, CDN$: BMG202
• F Class units, US$: BMG203

BMG Silver BullionFund 

• A Class units, CDN$: BMG400 (A-FE)
• A Class units, CDN$: BMG404 (A-LL)
• A Class units, US$: BMG401 (A-FE)
• A Class units, US$: BMG405 (A-LL)
• F Class units, CDN$: BMG402
• F Class units, US$: BMG403

Our website provides specific class related performance information for BMG BullionFund, BMG Gold BullionFund and BMG Silver BullionFund. BMG Funds are tracked by GlobeFund, MorningStar Canada, Fundata, and Cannex.

BMG Funds have been approved for sale by major securities and mutual fund dealers, such as Yorkton Securities, Union Securities, Canaccord Securities, Dundee Securities, IPC Investment Corporation, Fundex Investments, Berkshire Securities, Assante Financial Management Ltd., Edward Jones, W.H. Stuart and, Fundtrade Financial, as well as numerous independent securities and mutual fund dealers.

In addition to securities dealers and mutual fund dealers, the bank discount brokerage divisions of The Bank of Nova Scotia, the Royal Bank of Canada, TD Bank, and Bank of Montreal, CIBC and National Bank have also been approved. BMG Funds are also available through the discount brokerage divisions of E-Trade Canada, Sun Life, ASL Direct and Northern Securities.

Apart from the trust companies associated with the major banks, BMG Funds have also been approved for sale by major trustees for self-directed plans such as MRS Trust and Royal Trust.

For Class A units, BMG Funds provide for front-end commission of up to 5 percent, and pays an ongoing service or trailer fee of 1 percent, paid monthly.

Low Load Redemption Fees:

• First Year 3 percent,
• Second Year 2 percent,
• Third Year 1 percent,
• Third Year 1 percent,
• Thereafter 0 percent

The Class F units pay no commission and no trailer fee. The Class I units pay a negotiated commission and trailer fee.

According to a study by Ibbotson Associates a 7 percent allocation to gold is needed in conservative portfolios and a 16 percent allocation is required in aggressive portfolios. Those amounts are required simply to have a balanced, diversified portfolio during stable times, or what may also be known as strategic allocation.

From a tactical allocation standpoint, Wainwright Economics looks to gold as being a leading indicator of future inflation. In a high inflation environment, which the ongoing currency creation around the world makes likely, their conclusion is that you require15 percent in a bond portfolio and the same percentage in an equity portfolio just to insure your investments against further inflationary damage.

The percentage mix is debatable; however, to protect your client’s portfolio and preserve your client’s wealth, a 5 to 20 percent allocation to precious metals is recommended.

The minimum investment is $1,000. Subsequent investments are $100, and systematic investments such as PACs must amount to a minimum of $25.

Yes. This procedure can be set up through the back office at RBC Investor Services Trust, or through your RRSP/TFSA trustee.

A unit represents an undivided interest in the gold, silver, and platinum owned by the Funds. The minimum bar sizes are as follows:

• The BMG BullionFund – the minimum bar sizes buy are 400-ounce bars of gold , 1,000-ounce bars of silver and 50-ounce bars of platinum.
• The BMG Gold BullionFund – the minimum bar sizes buy are 400-ounce bars of gold
• The BMG Silver BullionFund – the minimum bar sizes buy are 1,000-ounce bars of silver

Click to view our holdings:

BMG BullionFund
BMG Gold BullionFund
BMG Silver BullionFund.

Yes. For information on our Low Load Deferred Sales Charge Programs, please view our BMG Funds Fact Sheets

The Net Asset Value (NAV) per unit for BMG Funds is set on the London PM Fix each day, based on the closing prices for each metal and the prevailing exchange rate. Any investment funds received before 4:00 pm EST will be allocated the appropriate number of units based on the current day’s NAV. The price of the metal would have fluctuated throughout the day, and the London PM Fix may be considerably different from the high, the low or the average price. Spot prices for precious metals vary during throughout the day, climbing higher or falling lower than the London PM Fix. There could also be an exchange rate differential, as that too varies throughout the day.

The prices paid for the metals are the ask prices. No one can buy at the spot price, be it the NYMEX close or the London PM Fix, in the same way that no one can buy at the last closing price in a stock. Based on this, comparing to spot is unrealistic. There is a bid/ask spread. The ask prices for each metal in a rising market are higher than spot, and lower than spot in a falling market. Here again, there is a differential between the NAV per unit that is based on the London PM Fix each day. This price does not necessarily represent the average price; it can be dramatically different from the high or the low for the day, and does not correspond to the actual prices paid by BMG Funds.

Have your head office personnel contact RBC Investor Services Trust at 1.866.241.6484 to obtain a dealer contract.

BMG Funds management team has been in the investment business for a combined total of more than 100 years. Unlike most mutual funds, however, unit-holders are not relying on the expertise of the fund manager for BMG Fund performance.

BMG Funds have a fixed investment policy that, allows BMG Funds to purchase equal dollar amounts of each metal for BMG BullionFund, purchase gold for BMG Gold BullionFund and to purchase silver for BMG Silver BullionFund at the prevailing market or spot price on every regular business day. BMG Funds do not rely on anyone’s ability to perform, or to make decisions that would affect BMG Funds’ investment performances. In addition, by holding actual bullion, BMG Funds unit-holders are not relying on anyone’s promise of performance. BMG Funds hold physical bullion on an allocated and *insured basis.

*”Insured basis” refers to certain insurance covering the storage of the physical bullion with the BMG Funds’ Custodian, and does not refer to insurance related to a loss in market value of the underlying holdings.

BMG Group Inc.  is an affiliate member of The London Bullion Market Association (LBMA) and only purchases ‘Good Delivery’ bars for its programs, ensuring all precious metals are SRI.

The LBMA Good Delivery List is now widely recognized as representing the de facto standard for the quality of gold and silver bars, in large part thanks to the stringent criteria for assaying standards and bar quality that an applicant must satisfy in order to be listed. The assaying capabilities of refiners on the Good Delivery List are periodically checked under the LBMA’s Proactive Monitoring program.

Investors can read the LBMA “Responsible Gold Guidance” investment guidelines.

The London Bullion Market Association (LBMA) is the international trade association that represents the market for gold and silver bullion, which is centred in London, England but has a global client base, including the majority of the central banks that hold gold, private sector investors, mining companies, producers, refiners and fabricators. The current membership stands at 149 companies.

The LBMA has set up a Responsible Gold Guidance for Good Delivery Refiners in order to combat systemic or wide-spread abuses of human rights, to avoid contributing to conflict, to comply with high standards of anti-money laundering, and to combat terrorist financing practices. This Guidance formalizes and consolidates existing high standards of due diligence among all LBMA Good Delivery Refiners.

Gold is often touted as a poor investment; advisors and the media alike warn investors to avoid it because they think gold is volatile, or because it doesn’t pay dividends. Treating gold as an investment, however, misses the point. Gold is neither a good investment nor a bad investment; gold is money.

Physical gold bullion or physical paper currencies locked in a vault are not invested; they are simply being stored. Since neither is invested, they don’t earn interest or dividends, but equally they don’t have any counterparty risk. The major difference between gold and currencies kept in a vault, however, is that gold’s purchasing power increases over time, while paper currencies’ purchasing power decreases over time.

Gold cannot be devalued by government deficit spending and the corresponding increase in the currency supply that is needed to keep the exponential curve moving.  Gold is not subject to devaluation by inflation; it is negatively correlated to inflation.  In fact, most banks, (especially central banks), view gold as a currency.  This is evidenced by the fact that most large banks trade gold as a currency, not as a commodity.

Gold is money, not a commodity as many investors and advisors incorrectly view it. Gold trades on the currency desks of the major banks and brokerage houses, not the commodity desks. It is a wealth-preserving asset, not a wealth-accumulating asset. We buy and hold gold bullion to preserve wealth. It is important to note that, while we may speculate in gold stocks, exchange-traded funds, futures and options to increase wealth, it is gold bullion ownership that best serves the purpose of wealth preservation.

Gold is often referred to as ‘honest money.’ For money to be considered honest it must be a store of value and it must provide a firm baseline for measuring the price of goods and services. Gold bullion has both those attributes; fiat currency has neither. Honest money retains its worth by virtue of its intrinsic value.  Paper currencies, or digits on a computer screen, have no value in and of themselves. They cannot be used for anything else.  The over-printing of bank notes backed only by faith dilutes paper currencies’ worth in a way that can never happen with gold. That is why gold and silver are called honest money.

Money must satisfy several functions. It must be: easily transportable; equally divisible; rare; durable; and a store of value.  Gold and silver can never become worthless.  Paper currencies come and go, but precious metals remain valuable.  Gold, silver and platinum are not created from thin air; they are not dependent on a fractional reserve system; they are not dependent on the solvency of an institution; they cannot be obtained easily; and they are the ultimate extinguisher of debt.