Company: FGDL
Filing Date: 2025-08-26
Form Type: POS AM
Source: 0001137439-25-001038
Chunk: 37

Company: Franklin Templeton Holdings Trust
Filing Date: 2025-08-26
Form: POS AM
Chunk 37
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 (considered the first stage of the gold life cycle). In practical terms, recyclable material includes end-user, post-consumer products, scrap and waste metals, materials arising during refining and product manufacturing, and investment gold and gold-bearing products. This category may also include fully refined gold that has been fabricated into grain, Good Delivery bars, medallions and coins that have previously been sold by a refiner to a manufacturer, bank or consumer market, and that may thereafter need to be returned to a refiner to reclaim their financial value, or for transformation into other products (e.g., 1 kilo bars). Recycled gold due diligence may vary significantly as the risk of illegality or ethical concerns varies depending on the supplier, material, type, form, value and area of origin. The Gold Guidance calls for refiners to establish a system of controls for increased visibility 20 and transparency over the supply chain. This includes a chain of custody or traceability system that identifies the origin of the gold and the upstream partners involved in the supply chain, and a mechanism to trace the input and output of each lot refined. The Gold Guidance sets forth specific risk identification protocols for recycled gold which include, but are not limited to, the use of a tailored know your customer questionnaire for recycled material to obtain, assess and, where possible, verify against publicly available information the following data:

| • | Main markets, products and customer segments of the counterparty |

| • | Profiles of the counterparty’s gold and precious metals suppliers |

| • | Types and forms of precious metals sourced by the counterparty |

| • | Country of origin of gold and precious metals processed by the facility |

| • | Country of destination of refined material |

| • | Trade and production data, to extent available |

| • | Type and locations of facilities operated by the counterparty (smelting, refining, manufacturing, jewelry production, pawn shops, etc.) |

| • | Import/export licenses, if applicable |

| • | Anti-money laundering and terrorist financing policies and practices |

| • | Anti-bribery and corruption policies and practices |

| • | Responsible sourcing policies and processes |

| • | Data privacy policies and practices, to extent available. |

The Gold Guidance also calls for enhanced due diligence proportionate to the specific risks presented, including with respect to recycled gold. According to the World Gold Council, in the third quarter of 2021, global mine production was approximately 959.5 tonnes, 298 tonnes of which were recycled gold. The Fund