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Both Pooled Accounts and certificates are Unallocated Accounts. Most precious metals traded in the world’s bullion markets are traded and settled in Unallocated Accounts.  Unallocated accounts are the cheapest and most convenient method available for dealing with short-term holdings, and for trading.  Units in unallocated accounts are represented by ounces or grams of bullion. 

Precious metals held in this form do not entitle the holder to specific bars, and the holder only ranks as an unsecured creditor of the dealer or bank in the event of an insolvency or bankruptcy.  This bullion can be considered part of the general pool of metal held by the dealer or bank, and may be lent out without the owner’s knowledge or consent. As a result, storage fees are much lower than for full custodial storage and are not paid until the account is closed or the bullion delivered.