History of Platinum as a Precious Metal Investment
The following article is created by Orion Metal Exchange for the benefit of our investors and perspective investors alike. We seek to provide relevant content concerning precious metals and the impact caused by the economy and geopolitical trends that will most likely place impact on your financial future. If you are interested in learning about precious metal investing, call 1-800-559-0088, for a FREE investor kit.
A Historical Review of Platinum
In the 18th and 19th century, platinum coins were used as currency by the Spanish and Russian empires.
During the industrial revolution, platinum became an important component for industry, including oil production and auto-manufacturing.
Platinum Jewelry became popular in the 1920s and 1930s. It became the preferred metal for engagement and wedding rings at that time.
With the outbreak of World War II, platinum was declared a strategic metal, and the U.S. government banned its use in all non-military applications.
In the 1960s, Japan had seen a rise in demand for platinum jewelry, making it a symbol of power and prestige. By the late ‘60s, platinum had become one of the most important metals in industrial production and by the early ‘70s, it was introduced as an investment metal.
In the 1980s, platinum began to be widely viewed as a store of value by Canada, Australia, and US investors.
The U.S. Mint introduced the Platinum American Eagle coin in 1997, guaranteeing its purity to be .9995.
Investors often own platinum coins to hedge against currency devaluation due to inflation.
The Upside Potential in Platinum
The platinum price per ounce in 1998 was $340 and within ten years, platinum reached an all-time high of $2,200 per ounce. Platinum gained approximately 550% in value between 1998 and 2008. Currently, platinum is $980 per ounce and the cost to produce platinum is currently $1150 per ounce. Making platinum an attractive value at this level. When choosing an investment entry point, investors should implement a strategy to buy low and sell high. The current value of platinum appears to be extremely low and should offer a great opportunity for upside potential moving forward.
Johnson Matthey is a British multinational specialty chemicals and sustainable technology company that was established in 1817 and has been publishing reports on platinum since 1957. According to Johnson Matthey, platinum in 2024 will reach the biggest deficit in ten years. Based on supply and demand fundamentals, platinum appears to offer a great opportunity for upside potential moving forward.
The Different Ways You Can Invest in Platinum with Orion Metal Exchange
Physical Platinum IRA Program
Contact our IRA department by phone to establish an precious metal IRA account. With a phone call, you can buy, sell, and exchange precious metals in your retirement account as a non-taxable event.
Physical Platinum Commercial Depository Insured Storage Account
For investors seeking 3rd-party storage, we offer commercial depository options to secure and insure your precious metals. You can buy, sell, and exchange precious metals with a simple phone call with our commercial insured depository options.
Physical Platinum Insured Home Delivery
You can guarantee purchase pricing with a simple phone call. We provide an invoice before you provide payment. Your precious metals are discreetly shipped, insured, and guaranteed to your signature.
With Orion Metal Exchange, investing in platinum is simple. Call to learn more, 1-800-559-0088
FAQ: Your Key to Understanding!
When did platinum become a precious metal?
A Swedish scientist, Theophil Scheffer, declared platinum a precious metal in 1751.
Is platinum the rarest metal on earth?
Platinum is one of the rarest precious metals on earth. Platinum is 30 times rarer than gold.
Why do people prefer platinum over gold?
Platinum is naturally hypoallergenic and is harder and denser than gold. Making platinum a preferred choice for jewelry. Platinum is a preferred investment over gold because of its current value, rarity, and current cost to produce. Making platinum more undervalued than gold.
