Next of kin and bullion: planning for the inevitable

Physical gold has a quality that appeals to many owners: it sits outside the financial system. That same quality can make it hard to find after an owner dies. Executors may not know which custodian holds it, what the account number is, or what documents they need to claim it.

Tell someone where it is

The single most useful step is the simplest: make sure your executor or a trusted family member knows that you hold bullion, with which custodian, and how to contact them. You do not need to give them access — just the knowledge that the holding exists.

Register your next of kin

We record next-of-kin details for every client and periodically ask you to confirm them. The date they were last verified is shown in your portal. Registering a next of kin does not give that person any rights over your metal — that is a matter for your will and the law — but it gives us someone to contact and helps us recognise legitimate enquiries.

• Name, relationship and contact details for each person.
• An indication of who is the primary contact.
• Optional notes, such as the name of your solicitor or executor.

What happens after a death

When we are notified, the account is frozen and no instructions are accepted until we receive the documents that establish who is entitled to act — usually a death certificate and a grant of probate or letters of administration, or their equivalent in your jurisdiction. We then follow the instructions of the personal representatives: to transfer title to beneficiaries, deliver the metal, or sell it.

Title transfer to a beneficiary uses the same change-of-ownership process as a sale — the bars can stay exactly where they are.

Holding through a structure

Some owners hold bullion through a company or trust, which can make succession simpler and avoid freezing during probate. These structures have their own tax and legal implications and should only be set up with professional advice.

Dividing a holding between beneficiaries

Bullion is easier to divide than many assets, but bars come in fixed sizes. A single 400-ounce bar cannot be split between three heirs without being sold or recast. Owners who expect their holding to be divided often keep part of it in smaller bars for that reason, or leave instructions for the executor to sell and divide the proceeds. When next-of-kin records include share percentages, they are a useful starting point for the conversation, but the will and the law of the estate decide the outcome.

Documents executors will need

• The custodian’s name and contact details, and the client code for the account.
• The most recent ownership certificate and statement, showing the bar list.
• The storage agreement, which sets out how instructions must be given.
• Any change-of-ownership certificates, if metal was bought or sold by transfer.

Keeping copies of these documents with your will, or telling your executor where to find them in your portal, can save weeks. We can also provide statements as at the date of death for valuation purposes once we have the appropriate authority.

Review regularly

Family circumstances change. Marriages, divorces, births and deaths can all make a next-of-kin record out of date. We ask clients to confirm their details periodically, and you can request a change at any time through your account manager. A record that is a few minutes out of date is a minor inconvenience; one that is years out of date can cause real difficulty for the people you intended to help.

Inheritance and succession law varies widely between countries. Treat this as a starting point for a conversation with your adviser, not as advice.