The Spaniards first discovered platinum when they were looking for gold, but they just ignored platinum and saw it as a trouble to find gold. The use of platinum has grown slowly along the way.
Platinum is now one of the most demanding precious metals, especially in the industrial sector. Platinum is much more expensive than silver and gold because it is rare, so platinum supplies only about 7 million ounces a year.
When investing in precious metals, people only invested money in silver and/or gold. People now also invest in platinum. But investing in platinum is much more expensive than silver or gold, so pockets and wallets must be prepared. There are three ways to invest in platinum.
Buying stock: from
You can buy stocks from platinum producers. However, you should be aware that this is not the same as investing in platinum itself. The price of platinum may rise, but if the company is not well managed, you may still suffer losses.
Buy a mutual fund or ETF: from
There are now some ETFs and mutual funds trying to replicate the price of platinum on the world market. This may be the easiest way to invest in platinum, but please note that these investments will incur administrative costs and may slightly reduce revenue.
Buy physical platinum blocks: from
Several countries produce platinum coins and gold bars every year. They usually have a denomination of as little as 1/20 ounces, the most common being a 1 ounce coin. In general, the price of these coins will be about 5% higher than their spot price.
Many people want to invest in spot platinum, so if you sound like you, here are some tips and suggestions.
- First, for most people, you must decide whether you want to invest in platinum or gold bars. If you have a small budget, it is recommended that you use coins, but if the budget is large, coins or bars can be used. Remember that coins are more fluid.
- Second, you have to decide whether you want to buy online or offline. The advantage of online is that the price is lower, but the risk of fraud increases. When you're offline, you can be more certain about the item you're buying, but usually pay a higher price.
- Finally, you must choose a place to store platinum coins or gold bars. If you have a small number, you may be able to put a safe at home. However, if you have a lot of money, consider renting a safe. Keep in mind that these fees will devour your return.
It's a good thing to invest in the future of you and your family, but you just need to make sure you are investing in the right investment. Precious metals are a good investment only if you know how to invest properly.