When it comes to gold, platinum has earned its reputation for several reasons. For starters, gold is much more abundant in the Earth's crust, making platinum rarer. Although 1,500 tons of gold are mined every year, only 160 tons of platinum are mined. Of course, gold has been mined for thousands of years and records weren't always kept as accurately as they are now.
For these and other reasons, precious metals investors are right to diversify their portfolio not only with gold and silver, but also with platinum or palladium. Gold is in high demand in economically stable industries, such as jewelry, electrical and medical equipment, while current demand for platinum comes mainly from the automotive industry. If you're looking for alternatives to a traditional IRA and are deciding whether to buy gold or platinum, gold is probably your safest bet. The best-known precious metals are, of course, gold and silver, which have become currency and art objects since before recorded history began.
Precious metals are a common analogy for ratings, such as music records or awards, and platinum is always ahead of gold in these settings. Gold and silver have been common targets for investments in precious metals for a long time, but platinum's popularity is relatively recent, despite its widespread use in manufacturing and jewelry. Gold has been the preferred precious metal for jewelry for thousands of years because of its high value and its radiant yellowish appearance. Gold is a conductor of electricity and resistant to corrosion, making it an effective shield for electrical components such as copper.
Gold and silver are highly sought after as currency, as ingots and for making art, but they are also vital to the electronics industry. Gold is a safe and stable investment for a retirement account, while platinum fluctuates much more frequently. The price of gold doesn't alter that easily, so its stability makes it a solid investment if you're looking for an alternative to traditional stocks.
