Types of Precious Metals - Investing in Platinum Bullion

Buy Platinum Bullion Online from CBMintThe platinum group metals, also known as platinoids, are a group of six metallic elements that are bunched together in the period table and share many of the same chemical characteristics and often occur in the same mineral deposits. The six PGMs in order of atomic number are ruthenium, rhodium, palladium, osmium, iridium and, of course, platinum. All six are considered to be noble and precious metals.

History of Platinum

Platinum is one of the rarest elements found on Earth. Platinum is ductile and dense and is not very reactive with other elements and can, therefore, occasionally be found in its native, free form. Platinum was generally unknown to Europeans until the 16th century when the Spanish, mining silver in Colombia, found platinum to be an annoying impurity. This gave platinum its name, coming from the Spanish “platina”, meaning little silver. Platinum was not really realized as being rare and valuable until late in the 1700s.

Uses of Platinum Today

Platinum has many important industrial uses, most of them tied to its inert chemical tendencies and its resistance to high temperatures. Its main use is in catalytic converters, but platinum is also used in dentistry, electronics, jewelry, and as an investment in the form of platinum bullion. Though, as an investment metal, platinum is perhaps not as famous as gold, it is rarer, and the current spot price of platinum reflects this rarity. Platinum even occurs in greater concentrations on the moon than it does on Earth.

Future of Platinum Prices and Investing in Platinum

Because it is so rare, the spot price of platinum is high, making it a worthwhile target for investors who buy physical precious metals. Demand for platinum is always increasing, and annual production of platinum is only a few hundred tons. Over 80% of platinum production comes from one deposit in South Africa alone, a situation that would cause platinum prices to skyrocket if that supply were ever disrupted. The foregone conclusion is that the price of platinum is not going to shrink very much any time soon, and investors have been buying platinum bullion in large quantities.