by David Kranzler
Investment Research Dynamics
Readers who have followed my work for several years know that I have been quite vocal about the illegitimacy of the GLD gold ETF. James Turk was the first analyst in 2004 to bring attention to flagrant legal loopholes which enable the GLD custodian (HSBC) to play the “shell game” with GLD’s gold bars.
Certainly highly illegal activities by HSBC are de rigueur, as evidenced by its conviction for laundering drug money – for which a $1.9 billion settlement with the Justice Department failed to deter HSBC’s money laundering activities – LINK. What the heck, $1.9 billion is merely the cost of conducting a high-margin business endeavor. Just ask the big banks funding Hillary Clinton’s Presidential campaign.