Palladium Bars: An Under-Radar Investment to Look Into
When we talk about investing in gold coins, gold and silver are often the most-discussed and sought-after precious metals. However, there’s an under-radar precious metal that you should look into if you’re planning to invest in precious metals, and that’s palladium. Palladium is more expensive than gold and is considered the most precious metal.
Palladium is commonly called white gold because of its makeup and features. It’s a silver-colored metal with widespread application in jewelry, industrial manufacturing, dentistry, catalytic car converters, and more.
If it’s so valuable, why is it that not many people invest in it? One of the reasons why it’s not as popular as gold and silver among investors is its relatively low liquidity. But that doesn’t mean you shouldn’t look into investing in palladium investment bars.
1. Store of Wealth
Just like gold and silver, palladium is a store of wealth. Holding palladium would ensure your wealth doesn’t get devalued. Just like other precious metals, palladium maintains its value over time. Seldom does the value of palladium drop. Palladium is a rarer precious metal than gold which means that the value of palladium will surge in the future.
2. Demand for Palladium is High
At present, the demand for palladium outweighs the supply, which has made palladium extremely valuable. Palladium has many uses, especially in the automobile and dental industries. Currently, there’s not much palladium in circulation.
Russia is the biggest producer of palladium, but the war between Russia and Ukraine is making it difficult for the country to produce palladium. The low supply of this precious metal will cause a hike in palladium prices.
Also, the demand for palladium in the automobile industry is on the rise as the industry’s inclination towards reducing vehicle exhaust emissions through palladium-containing catalytic convertors increases.
So, if you own palladium bars, you’re in for great benefits!
3. Diversifies Your Portfolio
Investing all your money in one asset, not even gold, is never a good idea. The precious metals industry is still more stable than other asset classes like stocks and bonds, and the money you put in precious metals is highly likely to stay secure. While you’re investing in gold and silver, investing in palladium allows you to diversify your portfolio. The more diverse your portfolio is, the lesser the chances of financial upsets.
4. Makes Way for Long-Term Growth
Palladium price increases aren’t as dramatic as gold, but that doesn’t mean palladium bars aren’t a good investment. Palladium prices increase slowly but consistently. Over a period of 6 months (January to June 2022), palladium returned 7% to investors. Palladium bar investments are a great option if you’re looking for long-term financial benefits and growth.
Final Word
Investors downplay palladium. It’s a precious metal investment company, and there’s every reason why you should look into palladium investment bars. However, palladium is more volatile than gold and silver, so you should get an expert opinion from a precious metal exchange company to see if it’s a good time to invest in palladium.
Orion Metal Exchange can help you make the right investment decisions with 50 years of combined experience in the precious metals industry. Get in touch with our experts today.
