LEVERAGE GOLD AND FRANKFURTER
METALLKASSE GMBH
METALLKASSE GMBH
Our business fields
Business field
Leverage Gold
In the "Leverage Gold" business segment, Deutsche Metallkasse AG acquires physical commodity deposits or corresponding equity interests with the highest possible leverage on the respective commodity price.
This allows Deutsche Metallkasse AG shareholders to invest with leverage in tangible physical commodities rather than merely in commodity derivatives (as Warren Buffett famously put it: "Derivatives are financial weapons of mass destruction").
"Leverage" means that small changes in a variable lead to large changes in the result. For example, with a leverage factor of six, a 10% increase in the gold price leads to a 60% increase in the value of the physical gold deposit or the corresponding equity interest.
Unlike all other leveraged financial products (options, warrants, futures, and CFD contracts), the leverage on physical commodity deposits has no expiration date.
One of the advantages of this is that the leverage effect is less pronounced on the downside during significant price drops than it is on the upside. For example, with a leverage factor of six and a 20% increase in the gold price, a 120% increase in the value of the gold deposit can be expected. In the event of an equivalent decline, however, the physical gold deposit does not become worthless because, unlike derivative products based on the gold price with the same level of leverage, it has no expiration date.
Another key advantage of this business segment is that it can be implemented with minimal operating costs, as there is no need for expensive and complex extraction of the commodity deposit; instead, the equity interest or the commodity deposit is simply sold once the price has risen.
This allows Deutsche Metallkasse AG shareholders to invest with leverage in tangible physical commodities rather than merely in commodity derivatives (as Warren Buffett famously put it: "Derivatives are financial weapons of mass destruction").
"Leverage" means that small changes in a variable lead to large changes in the result. For example, with a leverage factor of six, a 10% increase in the gold price leads to a 60% increase in the value of the physical gold deposit or the corresponding equity interest.
Unlike all other leveraged financial products (options, warrants, futures, and CFD contracts), the leverage on physical commodity deposits has no expiration date.
One of the advantages of this is that the leverage effect is less pronounced on the downside during significant price drops than it is on the upside. For example, with a leverage factor of six and a 20% increase in the gold price, a 120% increase in the value of the gold deposit can be expected. In the event of an equivalent decline, however, the physical gold deposit does not become worthless because, unlike derivative products based on the gold price with the same level of leverage, it has no expiration date.
Another key advantage of this business segment is that it can be implemented with minimal operating costs, as there is no need for expensive and complex extraction of the commodity deposit; instead, the equity interest or the commodity deposit is simply sold once the price has risen.
“Derivatives are financial
Weapons of mass destruction”
Countercyclical
Commodity investments
Deutsche Metallkasse AG will usually take advantage of the cyclical nature of the commodity market.
This means that investments are made when the commodity price is favorable, the sentiment in this commodity is very pessimistic and the rest of the set-up, such as chart technology, which many other market participants follow, and a possible seasonal cycle, also signals a purchase.
Conversely, the profits of such an investment are realized when the price of raw materials is high and sentiment is very positive and the rest of the set-up also signals an exit.
This means that investments are made when the commodity price is favorable, the sentiment in this commodity is very pessimistic and the rest of the set-up, such as chart technology, which many other market participants follow, and a possible seasonal cycle, also signals a purchase.
Conversely, the profits of such an investment are realized when the price of raw materials is high and sentiment is very positive and the rest of the set-up also signals an exit.
Special situations
Deutsche Metallkasse assumes that, in contrast to the usual countercyclical investment model, there will be special situations on the gold and silver markets in the next few years, so that these two raw materials should be the focus of investment over the next few years.
The expectation of such an investment focus was also the inspiration for finding the name, “Leverage Gold”, for this business segment.
The expectation of such an investment focus was also the inspiration for finding the name, “Leverage Gold”, for this business segment.
Strategic investments
Finally, within the “Leverage Gold” business segment, investments are conceivable that fall neither in the “countercyclical” nor “special situation” area, but are intended to serve as strategic investments for the entire development of this business segment.
Business field
Frankfurter
Metallkasse GmbH
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Through its subsidiary, Frankfurter Metallkasse GmbH, Deutsche Metallkasse AG is active in the retail business with precious metals. Frankfurter Metallkasse GmbH is a specialized company that focuses on trading and storing precious metals.
The company offers storage solutions for metals in a high-security facility and trades metals on the German market.
The aim of the GmbH is to offer both private and corporate customers a reliable and secure solution for the storage and trading of metals.
The company offers storage solutions for metals in a high-security facility and trades metals on the German market.
The aim of the GmbH is to offer both private and corporate customers a reliable and secure solution for the storage and trading of metals.
“Gold will continue to play a role as a currency reserve, especially in times of crisis.”
“GoldWert” — Savings plan
- With “GoldWert”, Frankfurter Metallkasse has developed a unique savings plan for payroll tax and social security benefits in kind as part of an employment relationship.
- The addressable market for this consists of approximately 44 million employees in Germany.
“GoldWert” is designed in such a way that this savings plan is also ideally suited for external sales.
Scaling — Frankfurter Metallkasse GmbH
- Frankfurter Metallkasse can operate with a small team and very low costs, as the entire processing of the transaction (since the beginning of the second quarter of 2026), using software developed precisely for the Frankfurter Metallkasse business, can be largely automated.
- For the first time, it is also possible to process larger quantities of contracts, meaning that Frankfurter Metallkasse, since the beginning of the second quarter of 2026, is at the beginning of the scaling phase of its business model.
