If we look at the amount of platinum mined over the past 11 years, we can see that the supply of platinum is declining. In recent years, only 180 metric tons of platinum have been mined, representing an almost 10% drop in mining production compared to the peak (in the last 11 years). Along the same lines, the price of platinum fluctuates more than that of gold. As your demand rises and falls, so does your price.
Investing in physical gold and silver IRA is a great way to hedge against market volatility and protect your retirement savings. While platinum is usually worth more than gold, its value is also more likely to decline at any time. You should do your own research before deciding if platinum best suits your investment objectives. Some researchers say that there is more platinum on Earth than gold, but that it is much deeper and more difficult to locate than gold. Platinum is a less liquid investment market than gold or silver, but high price volatility can generate greater returns for investors.
Platinum is used together with palladium and rhodium to neutralize exhaust emissions in cars, as well as in industries such as glass manufacturing, for jewelry and as investment. Whether platinum is an appropriate investment for your portfolio depends on your risk tolerance and how much you intend to invest, among other factors. The decision to invest in platinum is a personal decision that you should make based on your risk tolerance, your portfolio objectives, and the amount of money you have to invest. Since platinum prices are recovering but are still historically low, it's an excellent time to add this alternative precious metal to your investment portfolio.
In addition to being an investment product used as a portfolio hedge, platinum is widely used in jewelry and in the industrial and automotive sectors, where it is a key component in catalytic converters used to generate cleaner emissions in vehicles. Industrial demand for platinum is influenced by different factors, such as gold and silver, which affect their relative performance.