LBMA Standards: Guaranteeing the Purity and Integrity of Bullion

The LBMA, or London Bullion Market Association, establishes standards to regulate and ensure the purity and integrity of bullion traded on the market. The LBMA sets the quality and purity of gold and silver bars that are accepted as good delivery on the market. Here’s how the LBMA standards help in guaranteeing the purity and integrity of bullion:


  1. Good Delivery List:

The LBMA maintains a list known as the Good Delivery List, comprising accredited refiners whose gold and silver bars meet the LBMA’s stringent standards. Only bars produced by refiners on this list are accepted in the London bullion market.

  1. Specifications:

For gold, the required standard is a minimum of 99.5% purity.

For silver, the required standard is a minimum of 99.9% purity.

These standards ensure that only high-quality bullion is traded on the market.

  1. Assaying and Provenance:

The LBMA operates a rigorous system of assaying (testing purity) and ensuring the provenance (origin) of bullion bars, to maintain the integrity of the bullion traded. Refiners are required to undergo regular testing to remain on the Good Delivery List.

  1. Bar Integrity:

The LBMA’s standards dictate specific physical characteristics for bullion bars such as weight, dimensions, appearance, and markings to assure their integrity. This ensures the consistency and reliability of the bars traded on the market.

  1. Chain of Integrity:

LBMA standards maintain a secure and transparent chain of integrity from the mine to the final customer, ensuring that the bullion has been handled by trusted and ethical parties throughout its journey.

  1. Ethical Sourcing:

The LBMA places importance on responsible sourcing and requires that gold and silver are sourced ethically and without contributing to conflict, human rights abuses, or environmental degradation.

  1. Trade Documentation and Record-Keeping:

Adequate documentation and record-keeping are enforced to ensure transparency and traceability of all trades, guaranteeing the integrity of the bullion traded.

  1. Regular Audits:

The accredited refineries are subjected to regular third-party audits to confirm that they continue to meet the high standards set by the LBMA.

  1. Conflict-Free:

The LBMA enforces stringent guidelines ensuring that the gold and silver traded on the market are conflict-free, sourced from responsible and ethical sources.

  1. Market Transparency:

The LBMA works to increase transparency in the market through reporting and publication of trade data, giving market participants greater insight into the bullion market.
The LBMA guarantees the purity through its stringent standards and rigorous procedures. Through quality assurance, ethical sourcing, and integrity of the gold and silver bullion traded in the London market, the LBMA helps in maintaining the reputation and smooth functioning of the global bullion market.