Once physical precious metal has been purchased and allocated, the client faces an important operational choice: leave the metal in professional custody or request physical delivery.
In both cases, the underlying asset is physical bullion. What changes is where the metal is held, who handles it and which logistical responsibilities become relevant.
Stored metal remains within the custody system
When allocated metal remains in professional storage, it does not need to leave the vault after the purchase.
The holding continues to be managed within the custody structure.
Documentation can connect the client holding to the relevant metal, and the vault operator continues to handle physical security, inventory control and applicable insurance arrangements.
This can reduce the need for the client to arrange private transport and storage.
The deeper mechanics of allocated and segregated custody are covered in the next Alloy Academy module.
Delivery moves the metal out of custody
Physical delivery changes the operational situation.
The metal now has to move from the secured custody environment to another destination or directly into the client's possession.
That requires instructions, authorization and logistics.
A bar cannot simply disappear from a vault record and appear at another location.
Its removal must be documented and reconciled.
Why a withdrawal notice exists
Professional vaulting arrangements may require advance notice before physical metal is released.
Alloy Capital Commodities states a withdrawal notice of one business day for its described custody arrangement.
The purpose of notice is operational.
The custodian needs time to confirm the instruction, identify the correct metal, update custody records and prepare the release under the appropriate security process.
A withdrawal notice should therefore not be confused with a delay in ownership. The metal can already be allocated while remaining subject to procedures for physical removal.
Stored metal and delivered metal create different responsibilities
While metal remains professionally stored, the custody provider manages the secured facility and associated operational controls under the applicable agreement.
After delivery, responsibility changes.
The recipient must consider where the metal will be kept, how it will be secured and whether independent insurance is required.
The physical asset has not changed, but the custody environment has.
Viewing is different from withdrawal
Physical ownership does not necessarily require immediate removal from a vault.
The Alloy Capital custody model also describes viewing by appointment with photo identification.
Viewing allows a holder to physically inspect metal without terminating the storage arrangement.
Withdrawal, by contrast, initiates the process of removing the metal from custody.
These are separate operational actions.
Choosing between custody and delivery
There is no universal answer to whether physical metal should remain stored or be delivered.
The educational point is to understand the differences.
Storage keeps the metal inside a professional custody framework.
Delivery provides direct physical possession but introduces transport, security and storage considerations outside that framework.
The same ownership, different location
The distinction can be summarized simply:
Stored metal: ownership remains connected to professional custody.
Delivered metal: ownership continues, but physical possession moves to the recipient.
Understanding that distinction prepares the learner for the practical logistics involved when a delivery instruction is actually executed.
