International gold prices experienced another sharp decline on March 19, with London spot gold falling over 2.4% intraday to drop below the $4,700 per ounce mark, marking a cumulative loss of more than 6% over just two days.
Since the beginning of 2026, London gold prices first surged to a historic high near $5,600 per ounce, then underwent an extreme single-day plunge of nearly 10%, reflecting a pattern of high volatility and significant corrections.
Against this backdrop, multiple banks have introduced a series of measures to tighten personal precious metals trading. These steps include halting agency services for the Shanghai Gold Exchange, raising margin requirements, adjusting trading limits, and strengthening risk eligibility criteria.
On March 17, Postal Savings Bank of China and China Minsheng Banking Corp. simultaneously issued announcements further restricting personal precious metals business. Postal Savings Bank extended the deadline for closing positions under its Shanghai Gold Exchange agency business to March 27, warning that positions would be forcibly liquidated and funds transferred after that date. Minsheng Bank continued its efforts to phase out existing clients, urging customers who have not yet terminated their agreements to close positions, withdraw funds, and complete cancellation procedures promptly.
According to industry analyst Hongyan Xue, the widespread increase in margin ratios and stricter management of existing clients by banks stem from multiple common pressures facing the precious metals business. Market-wise, geopolitical and economic policy uncertainties have amplified price volatility, prompting banks to raise margins to mitigate leveraged trading risks. Operationally, a large number of inactive accounts consume system resources, while monitoring active trading behavior remains challenging, leading banks to clean up dormant accounts to optimize resource allocation. Additionally, precious metals trading requires higher risk capital provisions; increasing margins and controlling business scale help banks improve capital efficiency and enhance overall operational stability.
Banks are adopting differentiated approaches in tightening personal gold trading activities, focusing primarily on agency trading for Shanghai Gold Exchange products and gold accumulation plans. Different types of banks have introduced tailored measures based on their business strategies.
At the strictest end, several national banks, including Postal Savings Bank, Ping An Bank, and China Minsheng Bank, recently announced exits from Shanghai Gold Exchange agency services for individual clients. Postal Savings Bank led the move in February 2026, announcing plans to terminate its agency business and requiring clients to close positions or sell holdings by a specified deadline. On March 17, the bank extended the deadline to March 27, clarifying that overdue positions would be forcibly closed, funds automatically transferred to settlement accounts, and trading permissions revoked, covering all products such as Au99.99 and Au(T+D). Minsheng Bank continued its phased exit, having previously suspended buy and open functions in July 2022 and cleared inactive accounts in February 2023, with a further reminder on March 17, 2026, for remaining clients to complete necessary procedures.
Ping An Bank announced on March 10 that it would gradually shut down related trading permissions starting April 1 and fully exit the business. On March 11, after market close, it raised the margin ratio for deferred contracts to 100%, effectively eliminating leverage, and required clients to close positions and terminate agreements by the end of March. Industrial Bank, meanwhile, began restricting channels, closing online banking access for Shanghai Gold Exchange agency trading from February 14, retaining only counter and mobile banking channels to indirectly reduce business scale.
Beyond outright business termination, major state-owned banks have taken the lead in clearing inactive accounts and controlling leverage to reduce risks at the source. As early as December 2025, Industrial and Commercial Bank of China and China Construction Bank began cleaning up accounts with no positions, no holdings, and no debts but with margin balances, transferring out funds in bulk and closing trading functions, while retaining position-closing rights only for clients with open positions to reduce business scale.
In 2026, leverage control became a key focus. China Construction Bank raised margin ratios for all deferred contracts, including Au(T+D) and Ag(T+D), from 80% to 100% starting February 27, aligning with Ping An Bank’s move to eliminate risks from leveraged trading. Agricultural Bank of China adopted a combined approach of phasing out clients and providing incentives, having begun clearing long-term inactive clients since October 2025, while also reducing spot gold selling fees to zero to lower closing costs and encourage investors to act proactively.
Even lower-risk gold investment products, such as gold accumulation plans, are facing tighter controls. Banks are raising thresholds, implementing dynamic quotas, and adjusting trading rules to strengthen risk management across all types of personal gold businesses.
Gold accumulation plans, previously popular for their low门槛 and flexibility, are now a key target for adjustment. ICBC introduced dynamic quota management for its Ruyi Jin accumulation plan on non-trading days starting February 7, while also raising the required risk tolerance level to C3 (balanced) or higher. China Construction Bank increased the minimum periodic investment amount for personal gold accumulation to 1,500 yuan, imposed institution-wide purchase limits, and extended physical precious metals delivery cycles to 10–15 working days. Bank of Communications implemented tiered risk level controls, restricting full access to its precious metals wallet service to growth-oriented or higher risk-rated clients, while conservative, stable, and balanced clients may only execute real-time sell or cancellation operations.
Industry observers note that the widespread tightening of personal gold trading by banks results from a combination of market risks, cost-benefit considerations, and regulatory compliance requirements. Xue Hongyan pointed out that recent heightened volatility in precious metals prices increases the risk of clients facing losses exceeding their margins, particularly since individual investors often lack professional risk management capabilities. As members of the Shanghai Gold Exchange, banks bear clearing and advance payment responsibilities, exposing them to actual risk. Disputes arising from investor losses also raise operational costs. From a business value perspective, agency precious metals trading offers limited commission income but requires substantial resources for risk and compliance management. The implementation of new gold trading tax policies in November 2025 imposed additional identification and reporting obligations on banks, further reducing the business's appeal. Some banks had already been scaling back these operations; the current full exit represents a natural continuation of their risk control strategies.
The collective contraction or exit from personal precious metals business is becoming an industry trend, with more banks expected to follow. Future development is likely to emphasize three characteristics: continued reduction or complete elimination of trading leverage, with high margin ratios becoming standard; a shift from transaction services to asset allocation guidance, encouraging clients to move from short-term speculation to long-term planning; and stricter channel integration and suitability assessments to ensure investors’ risk tolerance aligns with product requirements.