In general, platinum is not a better investment than gold. Gold is more stable, is more easily mined, and its price doesn't fluctuate as much as platinum. And the value of gold is considerably greater than that of platinum. Gold has long been popular as a financial asset and because of its aesthetic value, making it an ideal choice for a Gold based IRA. Platinum is another precious metal used in jewelry and also has industrial applications.
Both can be good investment options, but there are differences in terms of long-term stability and price fluctuations. Like gold and silver, platinum is traded 24 hours a day on global commodity markets. It tends to reach a higher price (per troy ounce) than gold during routine periods of political and market stability simply because it is much rarer. In fact, much less metal is extracted from the ground every year.
There are many ways to buy precious metals such as gold, silver and platinum, and a number of good reasons why you should give in to the treasure hunt. That said, if the economy is on an upward trend and industrial and manufacturing industries are on the rise, then platinum can be a great short-term investment with immediate returns much higher than gold. Platinum is also listed on off-exchange and physical markets, but its options trading volume is much lower than that of gold. However, gold is the most liquid metal due to the high volume of operations that take place every day around the world.
Since an ounce of gold, platinum or palladium is worth many times more than an ounce of silver, the storage space required for any sum of value in silver will be much greater than that required for other precious metals. Because of its applicability to a greater number of industries, platinum is driven more by industrial supply and demand, and the price of platinum fluctuates more frequently than gold. Platinum, which is widely used in vehicle catalytic converters and jewelry, is not as important an investment metal as gold or silver. Many governments and individuals store quantities of gold because of its perceived value as an alternative currency.
A long-time favorite of precious metals investors, gold has been used as a store of value for thousands of years. Gold trades primarily based on sentiment; its price is less affected by the laws of supply and demand. If you don't want to physically own these metals, you can buy stocks, mutual funds and ETFs that invest in gold or platinum bars. While copper is often overlooked as an investment compared to gold and silver, an increasing number of investors are starting to buy copper ingots and ingots to protect their portfolios from further currency devaluation.
Unlike gold, the price of silver fluctuates between its perceived function as a store of value and its role as an industrial metal. If you don't want to invest directly in commodities such as gold and platinum, you can invest in companies that operate in the sector. Throughout history, there have been times when gold has been traded at a higher premium than platinum and vice versa.
