Most people who invest (part of) their assets in precious metals choose to invest in gold or silver. These investments can make you a lot of money, but you can also choose to invest in a different type of precious metal. For example, more and more people are investing in the precious metal platinum.
On this page you can read more about investing in platinum. You’ll learn exactly what platinum is, but also what the benefits of investing in platinum are and how you can invest in this precious metal.
What is platinum?
Platinum is one of the youngest precious metals in the world. Unlike gold, for example, platinum was first discovered only 250 years ago. Of all the precious metals in the world, platinum is the rarest. This simply means that more gold and silver is mined than platinum. Among other reasons, this is because there are fewer platinum sources in the world.
The supply of platinum is small, but the demand is very large. This is because platinum plays an important role in modern science and industry. Unlike the precious metals gold and silver, platinum is not used for jewellery. This precious metal has more scientific and industrial applications. This makes the demand for platinum very large.
Investing in platinum
Investing in platinum is done with an online broker. By investing in platinum you can profit from the price fluctuations of this special precious metal. You have the following options:
- Buy: when you buy, you earn money if there is an increase in the price.
- Sell: when you sell, you earn money if there is a decrease in the price.
Thus it is possible to make a profit on investments in platinum whether the price is rising or falling. When investing in commodities, it is wise to first try it out with a demo. This way you will not get into trouble because you do not have any investment experience yet!
The benefits of investing in platinum
There are several advantages associated with investing in platinum. The first advantage of an investment in the precious metal platinum is that the demand for this precious metal is very high. As this precious metal has various industrial applications, there is a great demand for platinum. The combination of large demand and small supply of platinum makes it very valuable.
Another advantage of investing in this precious metal is that you can see an investment in platinum as a safe haven. By adding this investment product to your portfolio, you not only create more diversification, but you also create a safe buffer. If it does not go very well with your other investment products, the loss will be compensated by your profits on your platinum investment.
Finally, platinum is generally less expensive than gold, while the precious metal actually has just as much strategic value for your investment portfolio. If you find an investment in gold to be too expensive, it is certainly interesting to invest (a part of) your assets in platinum.
Price of platinum
Here you can see the current price of platinum. You can also buy the commodity directly.
Investing in platinum: the possibilities
There are various ways to put (a part of) your assets in the precious metal platinum. First, you can choose to purchase one or more bars of platinum. You would do this at a recognized and reliable online store, where you can often also buy precious metals such as gold and silver. The disadvantage of this physical investment is that you actually have to store your bars somewhere.
If you do not like this idea, you can also invest money in a platinum account. There are several banks with this special type of account, including ABN AMRO. If you open a platinum account, you are investing indirectly in this precious metal. This means that you do not have to physically store platinum, but you can profit from the appreciation of this precious metal.