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 Gold $1,768.30   $-29.80  Silver $23.38   $-0.13  Platinum $1,063.10   $4.80  Palladium $2,097.50   $-75.40

Discovered in the early 1700s, platinum is a precious metal that often takes a back seat to gold and silver. Yet it’s typically more valuable than both of these metals in its physical form. Take a moment to learn why platinum is an often-undervalued precious metal that can be an appealing asset with long-term value, brought to you by the experts from First National Bullion and Coin, San Diego collectors’ trusted resource for extensive industry knowledge and high-quality service.

Platinum Is Rare

One of the reasons platinum has a high value is because of its rarity. According to Live Science, this precious metal only makes up approximately 5 parts per billion, by weight, of the earth’s crust. Furthermore, according to one estimate, all the platinum that’s ever been mined to date could probably fit into your home.

Its Durability Boosts Its Value

Platinum is denser than gold, and platinum alloys are incredibly pure. In fact, platinum-based alloys range from 90 to 95 percent in purity. On the other hand, 14K gold has about 58 percent pure gold. Because of the higher purity and other qualities associated with platinum, it has incredible durability and strength, which further boosts its value.

Platinum Prices Are on the Rise

The price of this precious metal in various forms has been on the rise in recent years. This means platinum in solid form that you may have had for a while could be more valuable now than when you first purchased it. What’s more, this precious metal’s value has risen even more dramatically since the start of the COVID-19 pandemic. The World Platinum Investment Council reports that since early 2020, platinum prices have spiked by more than 80 percent.

It’s a Largely Misunderstood Commodity

As a commodity, platinum is still often misunderstood in terms of its value, according to Mining Weekly. They note many aspects of platinum’s market value are often overlooked. In addition to being a precious metal that can be purchased as bullion, platinum has many practical industrial uses in such things as fuel cells and electrolysers.

Platinum Can Be a Great Addition to Your Portfolio

It’s common for precious metals investors to include gold and silver in their portfolios as safeguards against economic uncertainty and volatility. Platinum’s spot prices can be somewhat tricky, but this is also true of gold and silver. However, the market value of platinum is on par with gold and silver, which means it can also be a welcome addition to your investment portfolio, especially when purchased as bullion in the form of bars or rounds.

Embrace the Value of Platinum

Because platinum can be pricey, the general advice given to investors is to start small with this precious metal. For instance, you might purchase some smaller bars from a reputable dealer or buy some noteworthy coins, such as the American Eagle Platinum Bullion coins available from the U.S. Mint. However, if you mix platinum in with your other investments, you could end up with some added peace of mind as well as an asset that, because of its rarity, will likely have a stable value in the future.

If you’re a precious metals collector in San Diego, silver bars, gold bullion, and platinum coins of the highest quality are available at First National Bullion and Coin. We buy and sell a variety of precious metals, including platinum, gold, silver, and palladium. San Diego collectors who are looking for trustworthy dealers and high-quality service should give us a call at 858-666-6570 to speak with one of our precious metals experts. 

The statements made in this blog are opinions, and past performance is not indicative of future returns. Precious metals, like all investments, carry risk. Precious metals and coins may appreciate, depreciate, or stay the same in cash value depending on a variety of factors. First National Bullion does not guarantee, and its website and employees make no representation, that any metals for sale will appreciate sufficiently to earn the customers a profit. The decision to buy, sell, or borrow precious metals and which precious metals to purchase, borrow, or sell are made at the customer’s sole discretion.

By |2021-03-17T23:07:40-07:00March 18th, 2021|Miscellaneous|0 Comments