Learn How to Compare Gold and Platinum Before Investing
When it comes to Gold versus Platinum, there are a few things to consider when comparing materials. For instance, where does each metal come from and which is more durable?
Gold has existed since 40,000 BC and has been an important financial asset in society throughout the ages. It is also the only metal that has a golden color which makes it even more unique. As well as this, it is extremely ductile. One ounce of Gold can stretch into a 5-mile Gold thread, which makes it malleable and sustainable. Gold is also nontoxic, and therefore, you can digest it through flakes into food or drinks because it has no odor and is tasteless.
Platinum is in prescription drugs as it is a biologically compatible metal. That is because it is non-toxic and does not react negatively to bodily tissues. Platinum is also one of the rarest metals on the planet. If you own this material, you have something very precious.
Since the 1900s, Platinum has been used to create jewelry, but extracting Platinum costs a lot of money and time, so it is not used as commonly as before. Platinum production is predicted to slow down in the future, so getting your hands on this material could be a worthwhile long-term investment.
The Bottom Line
Ultimately, the main difference between Gold vs Platinum is that Platinum is harder to produce as it is located deeper in the earth. However, Gold holds more financial value, and many governments store them as an alternative currency.
Identify Which Metal Is Better For You
Here is an overview list of the differences between Gold versus Platinum, to compare both materials and identify which is better for you.
- Liquidity: One of the largest trading commodities in the world.
- Sustainability: More stable price fluctuations.
- Alternative current: Yes.
- Liquidity: A low trading amount.
- Sustainability: Price fluctuations due to lower trading amount, production difficulty, and rarity.
- Alternative currency: No.
Platinum offers more value if you are looking for a rare material, but Gold is more profitable as it comes in larger amounts. However, the choice between Gold and Platinum will come down to your unique portfolio, or collection, and deciding what item you are looking to invest in.
Buying Precious Metals
When buying Precious Metals there are a few things you should know, especially when it comes to cost and finding the perfect retailer. The most important factor in picking a company to purchase a metal, like Gold or Platinum, is finding a company you can trust.
1) Pick a Trustworthy Company.
Gold and Platinum have high value, and therefore, many people try to sell low-quality products and you could end up purchasing a fake item. To avoid this, you need to make sure that you are choosing a professional company.
Thankfully, APMEX has both quality and expertise. You find everything from Gold and Platinum coins, to rounds and bars to make a financial investment for your future to secure yourself against a fluctuating financial market. It is a great gift for a loved one or a special treat to yourself.
2) Cost of Gold and Platinum.
Historically, Gold and Platinum have always been interchangeable in terms of which one is worth more. For instance, from 1987- 2008 Platinum has traded at a higher price than Gold. However, 2021 saw a rise in Gold sales and it now exceeds the price of Platinum. As the price changes over time for each metal, it is hard to assess which one is more expensive.
The price differs depending on demand, supply, and other economic factors, such as manufacturing. Therefore, it is good to assess the market at the given time you are looking to purchase something Gold or Platinum. Although, when it comes to buying an item made from this material, there are also some other keywords to look out for when you are searching:
- Ask: The spot selling price is called the ask.
- Spot: This is the price set by London Bullion Market Association (LBMA) which can change at any time during the day.
- Bid: Market makers will pay this price for Precious Metals.
- Premium: This is the amount added to the asking price when other manufacturing costs are added.
- Spread: This is the difference between a buy price and a selling price.
Picking Your Gold or Platinum Product
Now that you have all the information you need about choosing between Gold and Platinum, you might need some help deciding on which item to buy.
One of the best products to buy is the 1 oz Platinum Bar – Valcambi (In Assay). This has a modern and stylish design which includes 1 oz of .9995 fine Platinum. Alternatively, you can also look at the Chinese Platinum Panda coins.
For the Gold items, you should consider buying the 1 oz American Gold Eagle BU, one of America’s most popular coins. You could also choose the Somalia 1 oz Gold Elephant Coin BU, which has a delightful elephant motif.
Of course, everyone has their own taste when it comes to design elements, such as engravings and material, but there are plenty of options available in today’s market to fit any portfolio or collection.
How to Clean Gold or Platinum
Once you invest in a product as valuable as Gold or Platinum, you will need to make sure that you maintain the quality and keep the material damage-free.
To begin, you should clean your hands every time you touch and hold the metal, whether that be in coin or bar form. You should also be extra careful to clean any oil or dirt off your hands, otherwise, they could damage your product over time.
Next, you should always wear gloves before handling the metal. However, you need to use cotton gloves, not plastic or latex. Plastic and latex gloves are dangerous because they can rub substances onto the surfaces of the metal.
After putting on your gloves, you can use plastic tweezers to pick up the Gold or Platinum coins. This cannot be done with Platinum bars, but you should still wear cotton gloves.
If you want to place the metal down on a surface, you will have to put a soft material over the surface. For this, you can use a soft towel or cloth. Ideally, you do not handle the item for too long as that also increases the risk of damage.
Storing Gold and Platinum
Even though cleaning is an essential element to owning your Gold and Platinum metal for a long time, it is also vital that you store them properly.
Thankfully, there is a storage solution for every item. However, for coins, the best way to store them is away from the heat and moisture. For Gold or Platinum bars, you can use storage boxes. This gives your bar enough room and protection from environmental factors like heat and humidity. The best place to store them is in a cool, dry place away from other metals that have been tarnished. To keep them safe, you should also have the proper materials.
You should avoid a PVC container as it could damage your coins over time. As well as this, when PVC is exposed to light and heat it will produce hydrochloric acid and this destroys your coins.
The perfect way to keep your coins is in a sleeve or tube. Most of the time, your coin already comes with one of these options so you can use that for storage. If you prefer to buy your own storage material, then it is best to pick air-tight containers.
It is crucial that you prepare the proper storage for your precious metals to avoid any repair costs or indefinitely ruining your item. Even if you have the best intentions, without proper care your product will be ruined.
Quality is as Precious as Gold and Platinum
There is no denying that the market of Gold and Platinum is flooded with sellers and retailers that are offering thousands of products. Making a costly investment is about trust as much as anything. You need to trust your seller and be able to enquire about the quality, price, and any other questions you may have.
Learn more about the Gold price chart.
Why wait to get in contact? Interested in purchasing a Gold or Platinum product? Get in touch today!