{"id":29631,"date":"2023-10-23T16:00:53","date_gmt":"2023-10-23T23:00:53","guid":{"rendered":"https:\/\/www.advantagegold.com\/?p=29631"},"modified":"2023-10-23T16:00:53","modified_gmt":"2023-10-23T23:00:53","slug":"platinum-vs-gold","status":"publish","type":"post","link":"https:\/\/www.advantagegold.com\/blog\/platinum-vs-gold\/","title":{"rendered":"Platinum vs. Gold"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">We shouldn\u2019t have to ask, \u201cIs gold or platinum better for my portfolio?\u201d<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Both precious metals have a place. They sometimes share a purpose.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">But understanding their differences is key.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">This guide will explain the usefulness and drawbacks of each metal.\u00a0\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Luckily, both will serve you well. In the long run, you probably can\u2019t go wrong with either a platinum or gold investment.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Let\u2019s take a look.<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">Investing in Gold\u00a0<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Physical gold has been a currency and a store of value since the times of ancient civilizations.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Although revered for its beauty, gold has physical attributes that make it much more than a pretty face.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Gold is malleable, conductive, and non-corrosive. It lasts forever.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">For many decades, gold backed U.S. currency dollar for dollar. That true backing ended in 1933, but the dollar remained pegged to the price of gold.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">President Richard Nixon <a href=\"https:\/\/www.federalreservehistory.org\/essays\/gold-convertibility-ends\" target=\"_blank\" rel=\"noopener\">ended the gold-dollar relationship in 1971<\/a>. The Federal Reserve needed freedom to enact monetary policy, wanting to print money and deploy other economic strategies to control inflation. The goal: Make the U.S. dollar independent and not fixed to anything tangible.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The fiat currency of the United States was born.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Modern technology relies on gold. It makes efficient and reliable connectors, switches, and relay connectors.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Investors get physical gold via two methods:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Direct delivery<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><strong><a href=\"https:\/\/www.advantagegold.com\/gold-ira-investment\/\">Gold IRA<\/a><\/strong><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<h3><span style=\"font-weight: 400;\">Advantages of Investing in Gold\u00a0<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Modern investors turn to gold for the following benefits:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Hedge against inflation. <\/b><span style=\"font-weight: 400;\">Gold prices in dollars. Inflationary periods force you to spend more dollars on goods and services. Inflation also affects the price of gold, sending it upward. It takes more dollars to buy today&#8217;s gold than it took to buy yesterday&#8217;s gold. Gold preserves your purchasing power.<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Portfolio diversification<\/b><span style=\"font-weight: 400;\">. Gold is not correlated to the paper investment market. It belongs to a different asset class. When paper-based investments are down, gold&#8217;s value will often go up.<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Tangible asset. <\/b><span style=\"font-weight: 400;\">Physical gold is real. You can hold it in your hands. It can\u2019t go bankrupt at the push of a button.<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Safe-haven asset. <\/b><span style=\"font-weight: 400;\">During times of geopolitical turmoil, gold often retains\u2014and increases\u2014its value.\u00a0<\/span><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<h3><span style=\"font-weight: 400;\">Disadvantages of Investing in Gold\u00a0<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">As an informed investor, you need to account for a few challenges before investing in gold:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>No passive income<\/b><span style=\"font-weight: 400;\">. Gold doesn\u2019t pay a dividend like many stocks do. Gold doesn\u2019t generate interest. Its value is market-driven, based on supply and demand.<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Storage and security concerns<\/b><span style=\"font-weight: 400;\">. To keep your gold safe, you must securely store and insure your gold. The Gold IRA addresses these needs, but direct-delivery gold does not.<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Price volatility. <\/b><span style=\"font-weight: 400;\">Short-term gold prices can fluctuate. Factors, such as investor sentiment and stock market health, can affect gold\u2019s value.\u00a0<\/span><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<h2><span style=\"font-weight: 400;\">Investing in Platinum\u00a0<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Platinum is a beautiful, shiny-white precious metal. This rare and malleable element is dense, conductive, anti-corrosive, and stable.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Some of the world&#8217;s finest jewelry pairs platinum with rare gemstones. But platinum has even more uses.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Platinum\u2019s primary use is in catalytic converters for cars, trucks and buses. As a catalyst, platinum helps oxygen bind with poisonous carbon monoxide. The oxidized result is a less harmful engine emission.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">You\u2019ll also find platinum in dental fillings, turbine blades, optical fibers, and LCD screens.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Some of the finest government mints manufacture coinage from platinum.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Investors and collectors seek platinum coins for their beauty, scarcity, and value. Platinum coins and bars are available via direct delivery.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">With direct delivery, you choose anything that is available and within your budget. Remit payment, and the platinum ships to your door.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\"><strong><a href=\"https:\/\/www.advantagegold.com\/approved-precious-metals\/\">The precious metals IRA<\/a><\/strong> is another path to platinum ownership. This self-directed retirement account allows ownership of <strong><a href=\"https:\/\/www.advantagegold.com\/approved-precious-metals\/platinum-coins-2\/\">eligible platinum<\/a><\/strong>.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">To be IRA eligible, platinum must meet the following standards:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">It must be 99.95% pure.<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Bars must originate from approved assayers and manufacturers.<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Coins must come from government mints.<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Coins must be new, uncirculated, and in perfect physical condition.<\/span><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<h3><span style=\"font-weight: 400;\">Advantages of Investing in Platinum\u00a0<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Some advantages of investing in platinum are:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Portfolio diversification<\/b><span style=\"font-weight: 400;\">. Physical platinum is not correlated to the stock and paper investments market. It is a tangible asset that doesn\u2019t live or die in cyberspace.\u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Short-term appreciation. <\/b><span style=\"font-weight: 400;\">Economic growth tends to bode well platinum. As demand for products using platinum rises, so does the price of the rare metal.\u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Long-term growth.<\/b><span style=\"font-weight: 400;\"> Platinum has proven to be a worthwhile long-term investment. Much like gold\u2014its precious metals cousin\u2014platinum tends to appreciate over time.<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Scarcity<\/b><span style=\"font-weight: 400;\">. Platinum is rare. Mining companies may find more sources, but no one can make more. Modern technology depends on platinum to function. When there is more need than inventory, the laws of supply and demand move the price of platinum.\u00a0<\/span><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<h3><span style=\"font-weight: 400;\">Disadvantages of Investing in Platinum\u00a0<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Platinum investing can be challenging. You must know the potential disadvantages to make an informed decision.<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Price volatility<\/b><span style=\"font-weight: 400;\">. Platinum\u2019s relationship with tech and the \u00a0 \u00a0 \u00a0 automotive sector is a double-edged sword.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Demand volatility.<\/b><span style=\"font-weight: 400;\"> When product demand falls, so does the price of platinum. Economic slowdowns or downturns can affect platinum.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Less liquidity<\/b><span style=\"font-weight: 400;\">. Platinum is not as recognized as gold and silver. Its market is not as robust, and sometimes finding buyers and sellers takes time.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Geopolitical influence<\/b><span style=\"font-weight: 400;\">. South Africa and Russia mines the majority of platinum. These countries often experience geopolitical strife, power shortages, and natural disasters. All can have an undue influence on production and on the price of platinum.\u00a0<\/span><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<h2><span style=\"font-weight: 400;\">Price and Volatility Comparison of Gold and Platinum\u00a0<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">You might be asking, \u201cSo, if I\u2019m a long-term investor, should I buy platinum or gold?\u201d<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Let\u2019s see what the historical data tells us.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Platinum\u2019s rarity and usefulness once meant it enjoyed a higher status\u2014and price\u2014than gold.\u00a0<\/span><\/p>\n<p><a href=\"https:\/\/www.macrotrends.net\/2540\/platinum-prices-historical-chart-data\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">From a January 1990 price of $523 per ounce, platinum skyrocketed to $2,180 an ounce in February 2008.\u00a0<\/span><\/a><\/p>\n<p><span style=\"font-weight: 400;\">Gold, during the same period, moved from $410 an ounce to $922 an ounce.\u00a0<\/span><\/p>\n<p><a href=\"https:\/\/www.macrotrends.net\/1333\/historical-gold-prices-100-year-chart\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">But, from February 2008 until 2023, gold has left platinum in the dust.\u00a0<\/span><\/a><\/p>\n<p><span style=\"font-weight: 400;\">Gold prices have increased from that $922 to $1,900 as of September 2023.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Platinum has decreased from its 2020 highs\u00a0 to about $900 as of September 2023.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Platinum\u2019s price dip may be a result of economic recessions\u2014the 2008 mortgage crisis in particular. In 2020, the beginning of the pandemic sent platinum prices plunging.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Both disasters caused slowdowns in spending and production of goods.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Platinum performed as advertised, falling in price amid less demand for products.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">A 50-year glance shows platinum at $172 an ounce in 1973 at the outset of the oil crisis-fueled U.S. recession.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Gold in 1973 averaged $97 an ounce.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Before 2008, platinum was winning the battle of platinum vs. gold investment.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">But over time, gold seems to have won the war for long-term supremacy.\u00a0<\/span><\/p>\n<p>&nbsp;<\/p>\n<h2><span style=\"font-weight: 400;\">Liquidity and Market Accessibility\u00a0\u00a0<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Consider where you will be when it\u2019s time to liquidate your assets.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Market accessibility is important when deciding on a gold vs. platinum investment.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Owning physical metals gives you the luxury of portability.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Your investment can travel with you\u2014and have real worth\u2014almost anywhere in the world.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In most cities\u2014even small and remote locales\u2014 you can convert your gold coins and bars into currency. Gold has a market almost everywhere.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Platinum can be much harder to exchange.\u00a0 Its resale market is a fraction of gold\u2019s market.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Less liquidity means that some exchanges may not accept platinum. Other outlets may charge high transaction costs.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Be prepared for either \u2026 or both.<\/span><\/p>\n<p>&nbsp;<\/p>\n<h2><span style=\"font-weight: 400;\">Choosing the Right Investment for You <\/span><b>\u00a0<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">Deciding between a platinum vs. gold investment comes down to individual needs.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Both metals offer:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Portfolio diversification<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">A tangible investment<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">A store of value<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Portability\u00a0<\/span><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">We\u2019ve seen that gold may be a better long-term investment. We&#8217;ve also shown that platinum may be more profitable in the short term.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">One important factor differentiates precious metals from paper-based investments. Neither element will go bankrupt and disappear at the push of a button.\u00a0<\/span><\/p>\n<p><strong><a href=\"https:\/\/www.advantagegold.com\/2023\/06\/01\/how-does-a-gold-ira-work\/\">The Gold IRA and the precious metals IRA with platinum can solve your precious metals needs.<\/a><\/strong><\/p>\n<p><span style=\"font-weight: 400;\"><strong><a href=\"https:\/\/www.advantagegold.com\/gold-ira-investment\/\">Included in the precious metals IRA<\/a><\/strong>, you get:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The finest gold and platinum, coins and bars.<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Storage and insurance of the metals.<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Full administration of your IRA.<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">A safe, two-way market to buy and sell your coins and bars.<\/span><\/li>\n<\/ul>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">A knowledgeable account representative to walk you through the process.\u00a0<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Advantage Gold is the industry leader in precious metals education and investment.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">We pride ourselves on making the metals acquisition process easy, fun, and painless.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">To learn more about your options, call us today or <strong><a href=\"https:\/\/www.advantagegold.com\/contact\/\">click the link<\/a><\/strong>.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">We look forward to speaking with you soon!<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>We shouldn\u2019t have to ask, \u201cIs gold or platinum better for my portfolio?\u201d Both precious metals have a place. They sometimes share a purpose.\u00a0 But understanding their differences is key. This guide will explain the usefulness and drawbacks of each metal.\u00a0\u00a0 Luckily, both will serve you well. In the long run, you probably can\u2019t go [&hellip;]<\/p>\n","protected":false},"author":17,"featured_media":30310,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[47],"tags":[1318,1319,1320,1321],"class_list":["post-29631","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-gold-archive","tag-gold-vs-platinum-investment","tag-is-gold-or-platinum-better","tag-platinum-or-gold-investment","tag-should-i-buy-platinum-or-gold"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.advantagegold.com\/wp-json\/wp\/v2\/posts\/29631"}],"collection":[{"href":"https:\/\/www.advantagegold.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.advantagegold.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.advantagegold.com\/wp-json\/wp\/v2\/users\/17"}],"replies":[{"embeddable":true,"href":"https:\/\/www.advantagegold.com\/wp-json\/wp\/v2\/comments?post=29631"}],"version-history":[{"count":0,"href":"https:\/\/www.advantagegold.com\/wp-json\/wp\/v2\/posts\/29631\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.advantagegold.com\/wp-json\/wp\/v2\/media\/30310"}],"wp:attachment":[{"href":"https:\/\/www.advantagegold.com\/wp-json\/wp\/v2\/media?parent=29631"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.advantagegold.com\/wp-json\/wp\/v2\/categories?post=29631"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.advantagegold.com\/wp-json\/wp\/v2\/tags?post=29631"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}