Following the recession of 2008, investors have found a better way to protect their investment by pouring their hard earned money into precious metals. Here, we’ll be discussing the Top 5 Precious Metals to Invest In worldwide.
Over the last decade, we’ve witnessed a descending trend in gold prices. However, the fact that gold outlays better than other types of investment is because of its trustworthiness, as it is not as prone to fluctuating prices. The factors that are responsible for its prices are the US dollar value, supply and demand, and interest rates.
The most common uses of gold are for investment, electronics, dental treatments, and the obvious one, jewelry.
Investing in silver is a reliable way of making sure that you have a stable capital investment. It’s a much better way of preserving assets regardless of the position the financial system is in and it is particularly well suited for holding in tough economic times.
This passing year, 54% of the total silver demand was for industrial uses, which ranged from automobile industries to electronics. Another factor that affected demand for silver was the solar explosion in Japan. China was reported to have imported most of the world’s silver last year, about 1,154 tons.
The most common uses for silver are electronic devices, water filtration, Silver Oxide Batteries, piping, and solar panels.
Platinum is one of the world’s scarcest metals. Platinum provisions are concentrated to the region of South Africa, which results in about 80% of the total provisions. Meanwhile, Russia has about 11%, and North America has about 6%. This metal holds high significance as a manufacturing material; its prices are however, fairly unpredictable due to limited suppliers. For this very reason, investors find it an attention grabbing investment.
The value of platinum is about twice of that of gold, which fluctuates according to the supply and demand. In harsh economic times, the value decreases due to fall in demand, and has been known to decline even below the price of gold. To give you a fair idea, the high and low of platinum prices for the year 2014 were $1,178 and $1,520.
Palladium is a metal that is in the same group as platinum. In addition to the supply and demand factors it shares with platinum, palladium is affected by the following three factors; the crises in Ukraine, vigorous venture demand, and the vehicle industry. 40% of the palladium is mined in South Africa, while Russia produces about 44%, and the rest is produced by Canada and US based mines.
Up until a couple of years ago, rhodium was the most posh metal around, with the price of an ounce touching $10,000. Not only is it a 100 times rarer than gold, but apart from that, it is imperative for use in the automotive industry, as its application as a catalytic converter is unparalleled.
Nevertheless, the trio of platinum, palladium, and silver are the most in demand in the current times, with the demand being driven by industrial needs rather than being used as a safety investment. Continued manufacturing in industries will also only improve their appeal in the upcoming years.