Things you should know before investing in precious metals
If you’re looking for a way to diversify your portfolio and protect yourself from the effects of inflation, investing in precious metals may be just what you need. Investing in precious metals lies somewhere between art and science. Precious metals are a tangible investment that will stay with you for the rest of your life and will pass on to your heirs. There are not many differences between investing in precious metals or investing in any other commodity: it’s driven by supply and demand. So just like any other commodity when you want to invest in a precious metal like gold you look up today gold price Anand or wherever you may live and then based on the price make the investment. However, unlike many other commodities, precious metals are simultaneously an investment vehicle, a hedge against inflation, and a hard currency.
But which precious metals truly are the best investments? Let’s find out
- Silver –
The second-most popular precious metal, silver also has industrial uses and is often used in jewellery.
Like gold, silver has a long history as a store of value and medium of exchange. But the yellow metal’s perceived role as a store of value and its role as an industrial metal is often at odds with each other, with the former driving prices up when investors are worried about inflation or geopolitical turmoil and the latter driving prices down when economic activity slows.
- Platinum –
While platinum is not as popular as gold or silver, it is still a valuable metal due to its rarity and industrial applications. Platinum trading was legalized by the Chicago Mercantile Exchange in 1970. Platinum is one of the most popular commodities to invest in. The price of platinum has been very volatile in the last few years. The price of platinum has increased about 100% since October 2008. This makes it one of the best-performing commodities over this period. Platinum prices have been driven higher by strong demand from industrial applications and weak supply due to political issues in South Africa and Russia, where most of the world’s platinum comes from.
- Palladium –
A rare metal that is highly resistant to corrosion and has an appearance similar to silver. It is used to make jewellery and in some catalytic converters for cars. Palladium is 30 times rare than gold, and its price has been steadily rising for the past few years. This makes palladium one of the best metals to invest in at the moment.
- Gold –
The most well known of all the precious metals. It is easily malleable and has a distinctively bright yellow colour. Gold is also ductile, meaning it can be drawn into long thin wires without breaking. is a precious commodity that has been valued since ancient times. It is considered a store of value and a hedge against inflation. Gold is used as a currency and an investment tool. Gold’s value is constantly monitored by investors and various stakeholders. It is traded on various exchanges across the globe, including New York (NYMEX), London (LBMA), Tokyo (TOCOM), Zurich (Zurich Gold Exchange), Singapore (SGX) and Hong Kong (HKEx).
Gold can be purchased directly from banks or dealers in physical form such as bars or coins. Investors can also invest indirectly in gold through exchange-traded funds or futures contracts. However, to make the purchase at the right time you should always be aware of the current gold price and hence you need to continually track gold rate today in Delhi 22 carat or 18 carat depending on what you want and where. You can visit Khatabook to learn about the most efficient ways to track the prices of gold and other precious metals.