USD-hedged gold helps risk-adjusted returns

Global gold-backed ETF holdings added 15 tonnes(t) to 2,484t in May. Europe and Asia drove inflows as European funds have responded strongly in the past two months. North American fund flows reversed their early 2018 trend as they lost 2.3% of assets, likely a result of the volatile prices in the gold market which left gold lower by 60bps (in dollar terms) on the month.

Volatility and weakness in the gold market were largely driven by a stronger dollar (DXY +2.3% on the month). However, USD-hedged gold was higher by 1.4% on the month. This highlights our view that having some allocation to USD-hedged gold helps risk-adjusted returns by lowering price volatility in periods when currency prices fluctuate.

Push to best practices in industry

The JNA Awards and the Responsible Jewellery Council (RJC) are joining forces to promote best practices in the international jewellery and gemstone industry. 

A world-renowned programme organised by UBM Asia, the JNA Awards recognises, celebrates and encourages excellence and innovation in the global jewellery trade. Now in its seventh edition, the Awards will culminate in a glittering awards ceremony in Hong Kong, on 16 September.                 

The RJC, a not-for-profit organisation headquartered in the UK, is the jewellery industry’s foremost standards setting and certification body. It has more than 1,100 member-companies in 75 countries that span the entire jewellery supply chain, from mine to retail. RJC certification is a gateway to growth for companies, demonstrating a company’s commitment to responsible business practices and ethical behaviour.

PNG celebrates WED with Farmer Education

Legacy jewellery brand PNG Jewellers celebrated this World Environment Day (WED) at their adopted village of Shillim in Pune’s Mawal taluka as apart of their Corporate Social Responsibility initiative. This year, they held three programmes that had the participation of over 30 employees from PNG Jewellers alongside 500 local villagers.

The aim was to not only improve the quality of life of the villagers but also sensitize PNG employees towards larger socially relevant issues. The first programme was a tree plantation drive at Shillim, Ajiwali and Kottamwadi villages, where 1000 tree saplings such as bamboo and sagwan (teak) were planted.

SA, India to commemorates Gandhi train incident

South Africa and India are commemorating the 125th anniversary of the eviction of Mahatma Gandhi at the Pietermaritzburg railway station. Gandhi arrived in South Africa as a young lawyer in 1893 and shortly after his arrival, he booked a first class ticket on the train to Pretoria, where he was to undertake business on behalf of the legal firm where he was employed.

On a cold June day, 07 June 1893, he was forcibly removed by the rail authorities in Pietermaritzburg from the first class compartment and thrown off the train following a complaint from one of the passengers. He subsequently spent the night in the station’s waiting room.

Expeditious disposal of pending appeal

CBDT dedicates fortnight for pending appeal effect – rectification matters! Redressal of public grievances and taxpayer service is an area of top priority for the CBDT and the Income Tax Department. In this connection, a fortnight from 1st June to 15th June, 2018 has been dedicated for expeditious disposal of pending appeal effect and rectification matters.

We repudiate his comments fully and completely

IDMA Quotes DeBeers on Rapaport's JCK Breakfast Conference

According to Ronnie VanderLinden, President-IDMA, ‘What stood out were the various reports on Rapaport's JCK Breakfast Conference where Martin Rapaport took the industry at large and De Beers in particular to task. I advise - no, I urge - you to view the video in its entirety and make your own judgement. If you weren't present and want to be part of the conversation, you must watch it first.

In response to the 2018 Rapaport Breakfast Conference and to Martin Rapaport's comments directed at De Beers, the De Beers Group of Companies wrote a letter to its sightholders and to other industry stakeholders which is quoted here below:

CTF Announces Promising FY2018

Chow Tai Fook (CTF) Jewellery Group Limited announces its annual results for the year ended 31 March 2018 (FY2018). The Group recorded a revenue of HK$59,156 million for FY2018 (FY2017: HK$51,246 million), representing a year-on-year increase of 15.4%. Gross profit amounted to HK$16,213 million (FY2017: HK$14,963 million).

Adjusted gross profit margin was down by 130 basis points in FY2018. Thanks to the encouraging business performance and operating leverage, core operating profit surged by 20.6% to HK$5,606 million (FY2017: HK$4,649 million).

China's jewellery market – quietly improving

According to the WGC, Market Update for June, China’s jewellery industry has responded to the changing consumer landscape over recent years. It has adopted two main strategies: offering an improved product range and blending the online and offline retail experience.

Improving product offering 24ct gold jewellery has dominated China’s gold jewellery market. It resonates well with older, more traditional consumers. But young, city folk have different tastes. 18ct gold (also known as K-gold) has played an important role in meeting the needs of this part of the market for some time.

Fura drills Coscuez Emerald Mine

Fura Gems announces the initiation of the diamond core drilling program at the Coscuez Emerald Mine in Boyacá, Colombia. Diamond core drilling program commenced on May 28, 2018. A total of 2,500 metres are planned to be drilled before the end of 2018. First 150 m of subsurface core drilling was completed June 2, 2018.

The drilling data, along with bulk sampling results, will contribute to a maiden mineral resource estimate expected in the fourth quarter of 2018. Dev Shetty, President & CEO of Fura, commented: “I am pleased to announce the start of the diamond core drilling program at the Coscuez Mine. Initial results have been very encouraging. 

Baba Kalyani heads group to study SEZ Policy

Government of India has constituted a group of eminent persons to study the Special Economic Zones (SEZ) Policy of India.

The SEZ Policy was implemented from 01st April, 2000. Subsequently the Special Economic Zones Act, 2005 was passed by Parliament in May, 2005 and received Presidential assent on the 23rd of June, 2005 and the Special Economic Zone Act was enacted. The SEZ Act, 2005, supported by SEZ Rules, came into effect on 10th February, 2006.