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Palladium - As Investment




At first glance, palladium looks similar to platinum, only that it has a darker greyish colour.
It is easy to tell palladium and platinum apart due to palladium's darker colour, which slightly resembles steel's colour. Platinum on the other hand, looks more similar to silver at first glance.
Obviously, the trained eye won't confuse the mentioned metals.

Palladium does have a degree of slight toxicity and can cause skin irritation, some people have allergy to it.

Palladium melts easier and is less dense than platinum.



Industrial Use of Palladium


Industrially, half of the palladium supply goes into the production of catalytic converters (which are used in automobile exhaust systems). Additionally, palladium is also used in medicine (especially dentistry), electronics, chemical applications, the production of fuel cells, even jewelry.

A small amount of this metal is used up to manufacture bullion.

There are a few palladium coins and bars available for physical investment. Canada and Australia being among the biggest producers of such investment products.



The Value and Potential Future Worth of Palladium


In early 2012, the price of palladium was somewhere around 3.5 times more than the price of silver and it was about 2.4 times cheaper than gold. But prices will fluctuate more in the future.

In 2007, the top producer of palladium was Russia (44 % share of global production), followed by South Africa (40 % share of global production). Then came Canada (6 % share) and the USA (5 % share).

It's a very rare metal, rarer than gold and intensely consumed by the industry.
This gives palladium the potential to become far more expensive in the future. In fact, many believe that palladium will surpass gold in terms of price.

It's wise to invest in this metal only after holding plenty of gold and silver, as palladium is less traded and also highly volatile (in terms of price).

We could say that it's situated somewhere between silver and gold in terms of price. In early 2013, palladium bullion cost roughly half as much as gold bullion products.

Palladium has entered a bull market in 2008 and miraculously, it has survived the crash of gold, unlike silver - which tends to oscillate roughly similarly with gold.

An abrupt price increase has occurred in early 2014 (during the January South African miners' strike) and then later it continued upwards under the effects of the West-Russia tensions.

Some called this metal "the other gold", being in an impressive bull market, producing high yields, similar to gold during its more than a decade-long rise.





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