In the end, precious metals have their uses as investments. When political or economic uncertainty hits, investors often turn to alternative or tangible assets, such as Gold based IRA, to protect their portfolios. Precious metals such as gold are just one option available to you. However, all investments come with risks. Platinum has higher volatility than other options, making it more susceptible to price drops.
Meanwhile, gold remains relatively stable, but it may not be a solid hedge against short-term inflation. In general, platinum is not a better investment than gold. Gold is more stable, is more easily mined, and its price doesn't fluctuate as much as platinum. And the value of gold is considerably greater than that of platinum.
Like gold and silver, platinum is traded 24 hours a day on global commodity markets. It tends to reach a higher price (per troy ounce) than gold during routine periods of political and market stability simply because it is much rarer. In fact, much less metal is extracted from the ground every year. While gold is produced in dozens of countries around the world, nearly all of the world's platinum is mined in just two countries: South Africa and Russia.
For centuries, platinum has been considered a superior symbol of value and quality, mainly because it is rare and more difficult to extract. Because of its applicability to a greater number of industries, platinum is driven more by industrial supply and demand, and the price of platinum fluctuates more frequently than gold. Gold is also in industrial demand, such as platinum, due to its use in electronics, dentistry and aerospace. In this comparison between gold and platinum, let's see which precious metal is a better investment and why.
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, a silver-colored metal, is a durable, dense metal commonly used in the manufacture of automotive and aircraft parts. Platinum and gold are two precious metals and non-traditional assets that investors can use for financial benefits, such as hedging against inflation. Both gold and platinum are precious metals, but there are factors that affect each of them independently.
The value of platinum depends on supply and demand, while that of gold depends largely on investor sentiments. However, other precious metals such as platinum and silver have their own place in a savvy investor's portfolio.