Many people who are just starting up their precious metal investments and who haven’t made any kind of specific decisions into what kind of metals they want to invest in are probably having difficulties in picking the precious metals which is most suitable to them. The answer to the question, which precious metals is the best one to invest in depends on several different factors and it’s never the same, there’s no general answer which applies to every investor, because each precious metal has certain properties which make it more suitable for different investors, who in turn also have different possibilities and different wishes when it comes to investments.
What I’m talking about would be the fact that some investors might not have a lot of money to invest in. Some are only interested in investing in precious metals because they want to make quick profits, in other words they want to invest in precious metals that have the largest changes in their prices. Each one of these investment profiles will have to invest in different metals, because not all of them will be able to satisfy the needs of everyone. Gold for example is very expensive, and silver even though is very cheap, it’s price doesn’t have large fluctuations like that of gold, so you can’t technically make a lot of money off of it.
Let’s start with the basics, the precious metal which has been with us the longest, gold. Investing in gold is perfect for anyone who has larger amounts of money and who doesn’t need to have profits right away. Gold is very expensive and to partake in gold investment you’re gonna need to have a lot of money at your disposal. What this means is that a lot of people might not be able to invest in gold, seeing how price for gold per troy ounce, for the moment is around 1500$. If you don’t have money for at least several ounces, it’s will be very difficult to invest in gold. True there are bullion coins with half an ounce, even 0.1 ounce, but those are rare and investing in them is not as effective as investing with larger amounts, since the amount of gold is very small, the profits can’t be high either. Investing in gold funds is also not an option, because they require even more money to be invested sot hat you become a beneficiary.
What’s more important to know is that gold prices are known to fluctuate a lot and if you buy it at 1500 now, in the near future the price of it could go down significantly and you will lose money. On the other hand prices might also rise and you can make money, the important thing here is to know when to invest and when to sell gold, but that’s a whole different store. Bottom line is gold is for those who have a lot of money at their disposal for investments, and also for those who are willing to wait some time if the change in price happens and gold losses a lot of its value.
Moving on to the cheapest precious metal of them all, silver. Yes, silver is the cheapest precious metal, with its current price being less than 30$ per troy ounce. Investing is silver is more affordable, because of the previously mentioned fact that silver has very low prices. The reason why silver has low prices has everything to do with the fact that silver is not as attractive as gold, and also because gold is a lot more scarce. Due to these things silver investors don’t have to be as rich as those who are investing in gold, so all those who have less money but who would still like to invest in precious metals might want to take a look into silver. With a low price, silver is much more affordable to people who do not have a lot of money to invest. You can buy 1 Kilo silver bar for less money than what you would buy 1 ounce of gold. With such a large bar, even the slightest of differences in the price of silver will be noticed and you can make a lot of money by buying and selling silver. Since the price of silver sin’t as volatile as that of gold, to change for hundreds of dollars at a time, your investments are also a lot more safer from being affected with violent changes in prices.
Platinum and palladium are relatively new precious metals, especially when they are compared to silver and gold. Platinum and palladium were only discovered a few hundred of years ago. What’s more interesting is the fact that there even when they were discovered they weren’t considered to be very valuable, mainly because people thought that these metals were silver on the count of their similarity to the previously mentioned precious metals, the cheapest one of them all. Platinum is very similar to gold, even the price of platinum is very similar to that of gold as well as the changes that it experiences due to the various different factors which are influencing the supply and demand.
Since platinum and palladium have similar characteristics that gold has, investing in them is also not very favorable to those investors who do not have a lot of funds to use. Palladium though is not so expensive as platinum so you might have more luck with investing in palladium coins and bars than you would in platinum or gold for that matter. With a price of 700$ per troy ounce, price of palladium is much higher than silver, but it’s still less than either gold and palladium and if you are looking something in middle when it comes to prices, then palladium is what you need. For more price choices look into other metals from the platinum group, they are cheaper, despite of the fact that they are more scarce. Before making any final decisions, make sure that you inform yourself properly about every aspect of the precious metal that you wish to invest in, that’s the most important part.