There are many metals that can be found on Earth, ranging from gold and silver all the way to exotic ores such as cobalt and iridium. Metals have a long history of being used for a variety of purposes by humans, but one specific group is good for investment – precious metals. These metals are generally rare and expensive to mine but are also used for many modern technologies. Today there are two metals that are often considered the most valuable to invest in – gold and silver. Read on for a guide to which metals are worth your investment and which ones should be avoided.
Best Precious Metals To Invest In
There are the types of metals in which you should invest your money, and there are the ones you shouldn’t touch with a ten-foot pole. Here’s the rundown on the best precious metals that you can use to make any sort of return on your investment. This isn’t an exhaustive list, but it’ll give you the basics for the types of metals you should be looking for.
Silver
Silver is the metal that the majority of the public think of when they’re asked to name a precious metal and with good reason. It’s the cheapest out there in terms of the ounce rate, making it perfect for an investment that you can constantly add to over time. Usually, the weight of a silver bar is around 6.86 pounds even though there are other sizes. You can get silver bars in the following weights: 1 ounce, 5 ounces, 10 ounces, and the popular 100-ounce bars.
Silver is the metal that the majority of the public think of when they’re asked to name a precious metal and with good reason. It’s the cheapest out there in terms of the ounce rate, making it perfect for an investment that you can constantly add to over time. You can get silver bars in the following weights: 1 ounce, 5 ounces, 10 ounces, and the popular 100-ounce bars.
Gold
Out of all the precious metals that you’ll come across on the market, gold is the most expensive as the pound-for-pound rate (we’re talking 99% pure here), it’s also the most popular for this very reason. If you have a relatively large amount of cash to invest, then going with gold will be the wisest choice as it’s a sort of a one-time thing. You can get gold bars in various sizes and weights which include: 1 ounce, 5 ounces, 10 ounces, and the more unusual 25-ounce bars.
Gold is a metal that doesn’t corrode easily, has a wonderful appeal to it, and also has an extremely high value (especially when you get into 24 carot gold). However, because of its high purity, the price of gold tends to fluctuate more than other metals on the market.
Platinum
If you’re looking for a metal that is highly resistant to corrosion, has a great value, and also has an extremely high price point then you’ll be looking at platinum as your answer. In terms of the pound-for-pound ounce rate, platinum is one of the most valuable precious metals that are out there with good reason. Platinum bars come in all different weights starting from 1 ounce, 5 ounces and going all the way up to 200-ounce bars.
Platinum is a metal that not only has a great value but also holds its price point exceptionally well against inflation as well as being one of the best metals you can invest in if you want your money to last.
Palladium
For those investors who are looking for a metal that has a high value and holds that value well then you should be looking at palladium. Palladium is the same as platinum in terms of the ounce for ounce rate, however, it doesn’t have quite the same popularity because not many people know about it. Palladium bars come in 1 ounce, 5 ounces, and 10-ounce weights.
Palladium is one of those metals which has all the right credentials when it comes to investment, however just like any other metal on the market if you’re looking for a short-term return then this isn’t going to be your answer. Platinum is one of the most important precious metals that have been used by mankind since ancient times and it’s also one of the most important metals for investors.
Precious Metals You Should Not Invest In
In the world of precious metals, it is easy to get swamped with confusing details and jargon, making it hard for you to make a quick decision. It might be tempting to invest in certain metals because they are cheap, but you really should not do this without careful consideration.
Here are the top three metals that you should never even consider investing in without first consulting your financial expert.
Zinc
This metal is famously used to galvanize steel, making it more corrosion resistant. Its color is reddish yellow and it has a chemical symbol of ‘Zn.’ It is cheap because it comes from abundant reserves, but that is exactly why it is such a bad investment. Learn about the properties of Zinc
Tin
This metal has the chemical symbol ‘Sn’ and was once used in cans, but today you will mostly find it in alloys like pewter and britannia metal (an alloy containing tin and antimony). This metal is cheap because it is only used in alloys, but industrial demand for tin has been steadily declining since the mid-1980s.
Lead
This metal is a heavy element found in several ores, but the most important of these are galena and cerussite. The chemical symbol for lead ‘Pb’ comes from the Latin word for litharge – a bright yellow mixture of lead and oxygen – because it was once used as a pigment. And although lead has been phased out due to its toxicity, the metal is still found in batteries and other alloys. In fact, demand doubled from 2013 to 2014 as manufacturers started using more recycled lead.
How To Buy Precious Metals
The first thing you want to consider when buying any metal is its practicality of it. Gold is great for its durability and all-around valuable features but it isn’t necessarily practical if you need your money for something soon. It’s not like you can run down to the bank (if there even is one) with a gold bar and exchange it for something useful. That’s where metals like silver come in. Silver is not as valuable as gold but a good rule of thumb is a dollar will buy you fifty cents worth of silver. This makes it more practical especially if you might need your money soon.
Precious metals have been used as a form of currency or trade for thousands of years, but now one can invest in the forms as well. There are several different kinds that make up this sector and they vary in value and level of security. It is important to know which investments are worth your time and money and which ones you should avoid.
A popular choice for investment among people all over the world is buying gold bullion bars or coins. One can also buy Exchange Traded Funds (ETF’s) that are made up of many different forms of gold. These are two of the safest options when it comes to investing in precious metals, but keep in mind you will need safe storage space for your investments.
Some metals are worth investing in, and some are not. This article serves as a short guide to help you understand which precious metal to consider and how.