Gold and silver has always been popular among savvy investors, but there hasn’t been much investor interest in platinum—at least not yet. Platinum bullion bars and coins are becoming increasingly popular because they have low premium over their “melt” value. This means that the price of bullion bars and coins is not influenced by demand by collectors but rather the price of platinum on the world market. If you’re thinking about diversifying your investment portfolio, here are a few reasons you’ll be glad you invested in platinum when you had the chance.
Platinum is Gaining Steam
Despite the fact that platinum serves as both a precious metal and an industrial metal, there has been very little investment demand for platinum bullion bars and coins in recent years. However, the tide is beginning change in platinum’s favor as more investors realize the long-term earning potential of platinum investments. Platinum has outperformed more popular precious metals as of late, so now is the time to get in while prices are still low enough to build a sizeable platinum investment portfolio.
Rare Metals Mean Higher Profits
Platinum is extremely rare. The fact that the production of platinum is less than 10 percent of gold production and that total in-ground reserves of platinum is approximately half of gold reserves suggests that platinum will soon begin to trade at significant premiums to gold and silver. This is especially evident when one considers the recent supply deficit in this crucial industrial metal. In 2012, demand for platinum outpaced supply by approximately 30 percent. If we apply the laws of supply and demand to platinum, it becomes clear that this precious metal is due for a major boom.
If you want to get into the world of platinum trading and investing, contact California Numismatic Investments. As one of America’s largest precious metals dealers, we can answer all your questions regarding platinum bullion bars and coins. Our selling price includes free insured shipping. Call us toll-free at (800) 225-7531 to speak with one of our precious metals experts.