The Bank of Nova Scotia stepped up its precious metals offerings to Canadians on Tuesday, with the launch of a new online delivery channel.

ScotiaMocatta, the precious metals division of Scotiabank, launched a new online store where Canadians can purchase and arrange delivery of gold and silver products.

The new delivery channel comes during a month when gold futures have surged past US$1,000 an ounce, and silver futures have hit their highest levels in more than a year. This has been driven by rapidly growing demand for holdings of the precious metals, according to Barry Wainstein, global head of foreign exchange and precious metals at Scotiabank. At the launch of the new online delivery channel in Toronto on Tuesday, he said Scotiabank has seen demand for gold surge by roughly 40% in the past year.

Rick Waugh, president and CEO of Scotiabank, said this trend is not surprising given the financial turmoil of the past year.

“There has always been, certainly in times of uncertainty, this attraction by a lot of individuals to gold and silver,” said Waugh, speaking at the launch.

Waugh said the new online store would make precious metals much more accessible to Canadians as demand continues to rise.

“This is something our clients and customers have been asking for, especially now with the tremendous rally in the price of gold and precious metals,” said Waugh. “It is also an opportunity to broaden the range of choices in our wealth management offering to consumers.”

The new channel also represents an effort to expand a key area of focus for the bank, and an area where few other Canadian banks have a large presence.

“Precious metals plays a significant role within Scotiabank’s business operations,” said Waugh. “Barry Wainstein heads up a dedicated team that has helped make us one of the world’s leading metal trading and bullion banks.”

Products available through the eStore include gold and silver bars and coins ranging in size from a fraction of an ounce to 10 ounces. The products are quoted in real time market pricing.

Through the eStore, consumers will be able to purchase up to $6,000 worth of gold and silver per day, paying with Visa, MasterCard or debit cards. Courier delivery of the precious metals is available to most points across the country, according to the bank.

Purchases on the new ScotiaMocatta eStore will initially only be available to consumers in Canada, but the bank plans to eventually expand this service to include all 50 countries in which the Bank of Nova Scotia operates.

IE