Investing In Precious Metals Via Palladium


For those who haven’t taken this step already, investing in precious metals is by far one of the best choices you can make in 2013. It offers an excellent way to diversify your portfolio into a commodity that tends to do well when the rest of the market is doing poorly and that is also predicted to continue doing well for the foreseeable future. Not only that, but it provides a great long-term asset that is largely proof against many ravages of the market, like inflation or the devaluation of the American dollar, since these metals have a recognized value worldwide.

While most investors will consider silver and gold when looking into investing in precious metals, we recommend taking a serious look at a relative newcomer to the market, palladium. This precious metal was discovered much more recently than the others and does not have as much of a history or following, but there are many benefits to choosing it as the precious metal you invest in.

An Introduction to Palladium

Palladium is a white metal, similar to silver or platinum, that was discovered in 1803. It is more common and therefore less expensive than platinum, and while it is more costly than silver, it has the advantage of not tarnishing. These traits make it ideal for many forms of jewelry and decorating, and also make it a good middle-of-the-road investment for those wanting something more valuable than silver but less expensive to get into than gold or platinum. It also has fairly stable supply and demand fluctuations, something that many who are looking into investing in precious metals will find attractive in contrast to the unpredictable changes in gold pricing. Also, palladium has seen the greatest increase in price over the last fifty years, with the fluctuation steadily trending upward over time.

Ways to Invest In Palladium

There are many ways to start investing in precious metals vial palladium. While jewelry is not normally recommended as the best way to invest in a precious metal, it is better for palladium than it is for the others. Because of its relatively cheap price and its resistance to tarnishing, palladium has been used in jewelry in higher ratios than its more expensive relative gold and its less hypoallergenic cousin silver. Therefore, an investment in palladium jewelry is more of an investment in the metal itself than it would be for the other precious metals.

Many who are about to start investing in precious metals look into coinage as a way to do so. Since palladium is relatively new and does not have as much of a history as currency, there are not many coins that use the metal, but there are some in North America that do. Coins are a good way to build up a stock of a precious metal, and a little more of a known quantity than jewelry. No matter what, the investment will not go below the value of the coin as legal tender, and the coins also have a formally regulated ratio of the metal, so you know exactly how much you are getting.

Of course, the stereotypical format for investing in precious metals is still bars. Bars are good for those who want to make a larger investment in the metal and who have the space to store them. While care has to be taken to ensure the purchase of legitimate, pure bars, once you have found a reliable source, bars are the best way to buy any serious volume of the pure metal. They also lend a certain sense of status!