The following is a summary of the principal operating risks in the AURMEX physical gold trading program together with the mitigations we apply. It is not exhaustive and does not replace independent due diligence.
Export Tax & Fee (First Trade)
Advanced export taxes and government fees (typically under 7% of shipment value) are non-recoverable if a shipment fails. This first-trade exposure is mitigated from the second trade onwards by earlier profits.
Mitigation. Collateralised escrow via a trusted local lawyer; fees capped below 7%; later advances funded from program profits.
Commodity Price
Gold prices fluctuate between purchase and sale.
Mitigation. Purchase and sale priced against the same reference on the same date; holding periods minimised; no unhedged inventory across trades.
Regulatory & Sanctions
Changes to export rules, UAE import rules, or PSPM rules, or the imposition of new sanctions, could impair operations.
Mitigation. Continuous multi-jurisdiction monitoring; experienced in-country partners; enhanced due diligence on every counterparty; refining redirectable to UAE or Hong Kong.
Concentration & Counterparty
Reliance on a focused set of partners; commercial risk that AURMEX's own counterparties cannot perform.
Mitigation. Qualified alternative providers at each link; dual refining destinations; fees collected progressively.
Fraud & Substitution
Goods substitution (tungsten-filled bars, false certificates, laundering scams) is documented in ASM gold.
Mitigation. No funds advanced where possible; bank guarantees releasing payment only after refinery assay; independent assay on arrival; chain-of-custody documentation from source.
Logistics & Insurance
Precious-metals cargo carries transit and storage risk that ordinary carriers cannot insure.
Mitigation. Specialist precious-metals carriers, sealed containers, insured to invoice value with named underwriters.
Not investment advice. The description above does not constitute financial, legal or tax advice. Nothing on this website is a prospectus, offering memorandum, advertisement, solicitation or offer to sell or subscribe for any securities or financial instruments. Physical gold trading carries a risk of partial or total loss of capital. Consult independent professional advisers before any commitment. See the full Disclaimer and Risk Warning.