Gold and silver continue to be popular among investors, but there is another precious metal that is far rarer and perhaps even far more valuable: Rhodium. Discovered along with palladium in 1803, rhodium is a key manufacturing component in the automotive, electrical, and aeronautical industries. Within the last five years the spot price of rhodium approached $10,000 but today can be purchased for a fraction of that old high, making it an excellent investment opportunity. Here are two other surprising facts about rhodium that may send you out in search of rhodium bars to add to your investment portfolio.
Rhodium is Crucial in Catalytic Converters
Rhodium’s primary use is in catalytic converters, an important component found on nearly all passengers vehicles sold around the world (the exception being electric vehicles). This union between rhodium and the automotive industry has helped stabilize trading prices and is expected to be one of the driving forces behind rhodium’s future market performance. And with rhodium becoming increasingly scarcer and much harder to mine, even a steady demand for rhodium should result in a significant rise in price as global supply falls.
Russia is a Main Supplier of Rhodium Worldwide
Although Russia doesn’t come close to being the world’s largest rhodium exporter (approx. 80% of global rhodium supply comes from South Africa), Russia does control significantly more rhodium than the rest of the world (approx. 15%). With tensions rising between Russia and the West, resource nationalism could become an issue in the near future. In other words, if Russia decides to stop rhodium shipments, the precious metal will skyrocket in value.
GoldDealer.com is proud to offer the beautiful one-ounce rhodium bar by London’s Baird & Co., a world renowned rhodium refiner. Visit our website to learn more about the Baird one-ounce rhodium bar or any of our other precious metals, including gold and silver bullion bars and coins. If you have questions, call us toll-free at (800) 225-7531.