Is platinum a good buy or is it too new to treat the same as Gold

[Guest]

I can buy a very small amount of Platinum. 
is it worth it or is it too volatile in comparison to silver or Gold. 
would we be likely to lose money?

[sovereignsteve]

49 minutes ago, Alex222213221313134141 said:

I can buy a very small amount of Platinum. 
is it worth it or is it too volatile in comparison to silver or Gold. 
would we be likely to lose money?

It depends whether you regard Pt as a precious metal in the same way as Au or Ag?

Many would say it is almost exclusively an industrial metal.

It also atrracts VAT in the UK which is a big disadvantage compared to Gold.

BTW Nice forum name, I recognise the sequence😉

[Ashes]

54 minutes ago, Alex222213221313134141 said:

I can buy a very small amount of Platinum. 
is it worth it or is it too volatile in comparison to silver or Gold. 
would we be likely to lose money?

Honestly I don't think it hurts to have a small amount of platinum. It certainly helps to diversify your portfolio and plus it's nice to look at. I myself only have two 1/10oz Platinum Britannia's.

It's hard to say with platinum where it will head in long term, but as @sovereignsteve said, it's being used in a lot of industrial processes and I can't see demand for it going away. Take catalytic converters for example. Likelyhood is that these will be phased out more and more as electrical vehicles become the norm, but who knows what revolutionary technology will come along that uses it i.e. high capacity batteries etc. 

https://www.mining-technology.com/features/platinum-potential-how-batteries-could-open-the-door-to-a-mining-rush/

I personally will be picking up a small fracitonal amount every now and then. 

[StackemHigh]

I'd say Pt and Pd are a good to hold in hand. What motives you have behind holding Pt is up to you. I just like these two metals. If you want to protect wealth then i'd steer clear. I'm no expert but i see Au everyday on PCB's and  connectors and Pt used in test equipment.  I'm a magpie for these metals some Pt coins, rings and some Pd rings, bars. I just like Pt and Pd.

[KevinFlynn]

Platinum is a speculative asset not unlike silver. But unlike silver it is severely undervalued at the moment. There is a not too small chance that platinum (once the most valuable of the classic precious metals) will rise to it's former value again. This made me put away an ounce or two. Of course VAT hurts.

[Stuntman]

Given that Platinum is about half the price of Palladium and only about 60% of the price of Gold, I still think it's a bargain at today's prices.

But who know when, or even if, it will take a big jump upwards.

I only buy the physical Platinum infrequently - I have six 1 oz Platinum coins but these are part of my collection rather than part of my stack. I picked up the 1 oz QB Platinum Completer coin recently when the spot price was below £720 - this particular coin owes me £957 but it's a lovely thing to hold and I've bought it with 'hobby money' rather than 'investment money' if that makes sense.

I also have about 27 oz-worth of Platinum in an ETF which is definitely 'investment money' and which I will sell once it takes a big jump upwards...

If I didn't have any Platinum today I would still consider buying in at today's levels but I'm not looking to add any more at the moment.

My advice would be to treat it as more speculative than Gold, and only buy it if you are happy with this.

Edited February 8, 2022 by Stuntman
spelling!

[Junior]

Once upon a time when I was following platinum more closely, I used to compare platinum, palladium and gold prices. Obviously everyone has already mentioned that both platinum and palladium are more industrial and therefore more subject to swings in pricing related to economies. I got lucky a few years back just after the VW emissions scandal when I held platinum and sold around it's peak and then swapped my currency into palladium just as it was slopping up. Then I got out of palladium on it's first peak in 2020. Luck had much influence as I took a guess that platinum would fall and palladium would rise.

Economically speaking, platinum is heavily used in catalytic converters for diesel vehicles and palladium for use in gasoline vehicles. There are many other uses as well that dictate the swing in prices beyond new car manufacturing of diesel and gasoline automobiles, but those other industries are normally more stable and in line with there perspective field growths. 

In regards to investment in the form of bullion, it is more risky for sure. Buy platinum if you fancy and if it's a limited collector's coin as this will help it retain value during dramatic platinum price swings. Aside from that, my wedding band is platinum and that's about as far as I go with it any more. 

Hope that helps.

Cheers.

Edited February 9, 2022 by Junior

[ArgentSmith]

Used in Jewelry, Industry as well as being available increasingly as bullion. It is undervalued compared to historic averages also a great catalyst so could find future demand in power production, hydro cell, cold fusion who knows.

all in my humble opinion

[Pete]

I would definitely buy platinum but in recognisable branded bars or coins only.
The problem is the price over spot and the added VAT in the UK from dealers.
Because there seems to be in general a lack of Pt for sale privately, margins are high in many instances but occasionally there is a bargain but rare.

[ArgentSmith]

https://www.railwaygazette.com/traction-and-rolling-stock/talgo-to-begin-fuel-cell-loco-trials/60890.article?ID=z9xqh~9fxqth~nnftjj~W4ik~Ky0gk&utm_campaign=RG-WEEKLY-Smarttransit-110222-JM&utm_medium=email&utm_source=newsletter&utm_content=RG-WEEKLY-Smarttransit-110222-JM

IMO fuel cells could become the global de facto standard for all road, rail and nautical freight. Makes perfect sense given the current green agenda. Batteries just won't cut the mustard.

19 hours ago, Pete said:

The problem is the price over spot and the added VAT in the UK from dealers.

I believe premiums are often less than bullion Silver

[Metalisreal]

In my experience here in the US I believe the smaller fractional platinum coins and bars sell better than full oz's since stackers seem to be naturally curious about the metal and want to tale a dip in it. I think those who have the funds for a full oz would rather buy gold imho. Of course we don't have VAT or any other taxes here on PM's.

[LawrenceChard]

On 07/02/2022 at 22:11, Guest said:

Is platinum a good buy or is it too new to treat the same as Gold

I can buy a very small amount of Platinum. 
is it worth it or is it too volatile in comparison to silver or Gold. 
would we be likely to lose money?

I think platinum is cheap relative to gold.

Because you are shown as a "Guest", it is not clear where you are, but...

If you are in the UK or EU, you will have to pay VAT on platinum.

As stated here:

https://www.chards.co.uk/blog/is-it-platinums-time-to-shine/978

Is it Platinum's Time to Shine?

It should be a disincentive to investment if you get taxed 20% up front.

Platinum is not new of course. It has been around for millions of years, but was only isolated sometime after 1786.

It is worth reading https://en.wikipedia.org/wiki/Platinum

Which includes:

"Early uses
Archaeologists have discovered traces of platinum in the gold used in ancient Egyptian burials as early as 1200 BC. For example, a small box from burial of Shepenupet II was found to be decorated with gold-platinum hieroglyphics. However, the extent of early Egyptians' knowledge of the metal is unclear. It is quite possible they did not recognize there was platinum in their gold.

The metal was used by pre-Columbian Americans near modern-day Esmeraldas, Ecuador to produce artifacts of a white gold-platinum alloy. Archeologists usually associate the tradition of platinum-working in South America with the La Tolita Culture (circa 600 BC – AD 200)...

So it is not new!

Also "The first European reference to platinum appears in 1557..."

I hope this helps.

😎

 

[Roaldos]

Was just reading some about Platinum, don't know if it helps some of you, but this article gives an overview idea.

https://investingnews.com/daily/resource-investing/precious-metals-investing/platinum-investing/platinum-outlook/

Comparing it to the Uranium sector for example (where the shortage is already there and demand rising steadily), it doesn't sound very attractive for the short/medium term (2-4 years) imo. 

Edited April 5, 2022 by Roaldos

[monkstax]

On 05/04/2022 at 20:03, Roaldos said:

Was just reading some about Platinum, don't know if it helps some of you, but this article gives an overview idea.

https://investingnews.com/daily/resource-investing/precious-metals-investing/platinum-investing/platinum-outlook/

Comparing it to the Uranium sector for example (where the shortage is already there and demand rising steadily), it doesn't sound very attractive for the short/medium term (2-4 years) imo. 

Interesting article!

[stataman]

I have one platinum 1 oz britannia. Very interesting to own and hold as it feels much heavier than silver or gold 1 oz due to it being a denser metal. But I think with the VAT on top it's not the best thing to collect in the UK. If you want to liquidate, the dealers will give you spot and not add on the 20% premium. Selling privately is the only way to get your 20% back. I know it's sacrilage but the best way to buy is in a platinum ETF which I may consider as platinum in relation to gold price appears undervalued in my opinion. 

[Roaldos]

On 09/05/2022 at 10:29, stataman said:

I have one platinum 1 oz britannia. Very interesting to own and hold as it feels much heavier than silver or gold 1 oz due to it being a denser metal. But I think with the VAT on top it's not the best thing to collect in the UK. If you want to liquidate, the dealers will give you spot and not add on the 20% premium. Selling privately is the only way to get your 20% back. I know it's sacrilage but the best way to buy is in a platinum ETF which I may consider as platinum in relation to gold price appears undervalued in my opinion. 

I am following ''Silver Chartist'' (hope it's OK that I mention it, it's not advertising), he has the same opinion. The article I posted above makes a good case on maybe not to invest too much in platinum at the moment, however, as you mentioned, the platinum-to-gold ratio is very low indeed. I found a deal for 13.7% over spot on a 1oz 2019 Kangaroo (new, from trusted dealer), I want it, on the one hand, but with current ''cheapness'' in the markets (looking at Royalties like Metalla and Sandstorm, one of them trading below/around NAV) I like to have some cash on hand. But if I would buy, around 13% above spot seems ''cheap'' for physical platinum.

[LawrenceChard]

14 hours ago, Roaldos said:

I am following ''Silver Chartist'' (hope it's OK that I mention it, it's not advertising), he has the same opinion. The article I posted above makes a good case on maybe not to invest too much in platinum at the moment, however, as you mentioned, the platinum-to-gold ratio is very low indeed. I found a deal for 13.7% over spot on a 1oz 2019 Kangaroo (new, from trusted dealer), I want it, on the one hand, but with current ''cheapness'' in the markets (looking at Royalties like Metalla and Sandstorm, one of them trading below/around NAV) I like to have some cash on hand. But if I would buy, around 13% above spot seems ''cheap'' for physical platinum.

Indeed 13% premium is cheap for secondary market platinum, and platinum is cheap.

Even though it's not from @ChardsCoinandBullionDealer, you should probably just get on and buy it, IMO.

😎

[LawrenceChard]

On 05/04/2022 at 20:03, Roaldos said:

Was just reading some about Platinum, don't know if it helps some of you, but this article gives an overview idea.

https://investingnews.com/daily/resource-investing/precious-metals-investing/platinum-investing/platinum-outlook/

Comparing it to the Uranium sector for example (where the shortage is already there and demand rising steadily), it doesn't sound very attractive for the short/medium term (2-4 years) imo. 

I have been lazy, and not read the article, but it probably helps to explain why platinum is currently cheap, therefore I / we will buy it, although we may be doing so too early. I think this is better than being too late, and I don't think I am smart enough to time it to perfection.

Keeping things simple, platinum is cheap, so I will buy it.

😎

 

[LemmyMcGregor]

I'm thinking about getting 1 of those 1/10 platinum coins for a laugh. I wouldn't splash much on it, thinking about considering the same as silver, the odd fun.

[LawrenceChard]

Look what I've just seen:

I know! - how many in a tube?

😎

[daca]

12 minutes ago, LawrenceChard said:

I know! - how many in a tube?

😎

10

[ArgentSmith]

I think what is holding price back is an incorrect assumption the market will be a glut with unwanted PT when we are all driving "nice" new Teslas 🤣

Markets are built on assumptions until reality sinks in.

[Stuntman]

Platinum is coming back into buying territory for me at the current pricing.  Below £750/oz I think it's cheap.

[Roaldos]

On 16/05/2022 at 12:30, LawrenceChard said:

Indeed 13% premium is cheap for secondary market platinum, and platinum is cheap.

Even though it's not from @ChardsCoinandBullionDealer, you should probably just get on and buy it, IMO.

😎

I ended up buying it. Not perfect timing, I see that I missed Thursday's sale, but then again the 2-3%.. :-) Happy with my new coin!

[Gunnerwood]

I’m strongly considering adding some platinum to my portfolio but it’s the high premium and vat that is making me think again and stick with gold. I know it’s used in a lot of industry from cars to medical equipment but is is another wealth protection per say with vat or a potential growth area over time. Decisions decisions.