As global economic and geopolitical uncertainties grow, ultra-wealthy investors are increasingly moving their gold holdings offshore, with Singapore emerging as a top choice.
Near Singapore’s airport stands “The Reserve,” a six-story, onyx-clad facility secured behind steel doors. Inside, it holds approximately $1.5 billion in gold and silver bars, stored in private vaults and thousands of safe deposit boxes stacked three stories high.
Since the start of 2025, The Reserve has seen an 88% rise in orders to store precious metals compared to the same period last year. Sales of gold and silver bars soared 200% year-over-year during this time, according to founder Gregor Gregersen.
“This surge is driven by concerns over tariffs, global instability, and geopolitical risks,” Gregersen told CNBC. He noted that 90% of these new orders come from outside Singapore, highlighting the city-state’s growing appeal as a secure metal storage destination.
Gold prices have recently hit record highs, boosted by safe-haven demand amid U.S.-China trade tensions and a large U.S. asset sell-off in April. While prices cooled slightly after easing tensions, some experts predict gold could reach $5,000 an ounce by next year. Currently, spot gold trades near historic levels at $3,346.32 per ounce.
The wealthy are increasingly favoring physical gold bars over paper assets to reduce counterparty and geopolitical risks. Physical ownership limits exposure to risks tied to banks or pooled reserves, as highlighted by the fallout from the Silicon Valley Bank collapse in 2023.
Nicky Shiels, head of research at MKS Pamp, said that owning specific physical bars offers security that paper gold cannot. Similarly, John Reade, chief market strategist at the World Gold Council, explained that some investors prefer storing gold outside the banking system altogether.
Distrust in domestic banks in countries such as Lebanon, Egypt, and Algeria also fuels demand for offshore vaults, said Jeremy Savory, founder of Millionaire Migrant, a Dubai-based consultancy specializing in services for high-net-worth clients. Many seek storage in Switzerland, Singapore, or Dubai.
However, vaulted gold may be less appealing to short-term investors due to higher transaction and transport costs compared to paper gold, noted Reade.
Singapore’s rise as a gold storage hub is due to its reputation as the “Geneva of the East,” offering political stability and economic security, according to Shiels. Its strategic location as a transit hub also allows investors to easily access or move their gold, giving it an edge over traditional centers like Switzerland, Savory added.
As uncertainty continues to shape global markets, Singapore is cementing its role as a premier destination for secure, physical gold storage for the ultra-wealthy.
