How to Buy Palladium Bullion
When making investment decisions, it is important to understand the modern portfolio theory of diversification. For best results over time, financial advisors typically recommend investing in assets from the four key asset classes: cash, securities, real estate and tangible assets. While cash, securities, and real estate are self-explanatory, determining what tangible assets to invest in can be more difficult. As with all precious metals, palladium bullion is a tangible asset that can be an excellent choice for portfolio diversification.
Like gold, silver and platinum, palladium bullion has been used by investors as a hedge against currency devaluation, inflation, market uncertainty and geo-political risk. Unlike fiat currency, palladium bullion is not tied to a single government, allowing it to be bought, sold and traded worldwide. Additionally, palladium bullion bars and coins are easy to store, allowing investors to have a real, physical asset as part of their portfolio.
While many investors may traditionally think of gold and silver when purchasing precious metals, palladium is an alternative that offers unique and periodically impressive trading opportunities. Palladium is an industrial metal as well as a precious metal, with the majority of the supply being devoted to autocatalyst production for gasoline engine vehicles. Additionally, palladium is far rarer than gold and silver, with mining production being limited to a few, sometimes unstable areas. Due to these factors, palladium prices tend to be far more volatile than those of gold and silver, allowing for unique speculative investment opportunities.
Buying Palladium Bullion Bars
As with other precious metals, the best way to get the lowest price per troy-ounce of palladium metal is to purchase palladium bullion bars. These bars, produced by various refiners, are 10 troy ounces of pure .9995 fine palladium. Each bar is hallmarked by the refiner to certify the bar’s weight and purity, as well as reducing the risk of potential counterfeiting. These bullion bars are transportable and easy to store and trade, allowing investors to keep their metal secure in their personal possession.
Buying Palladium Bullion Coins
Some investors who are interested in investing in palladium may prefer to purchase smaller, more divisible amounts than are available by buying larger bullion bars. Palladium bullion coins offer the same pure .9995 fine palladium metal found in bullion bars, but in smaller sizes that are easy to hold, divide and trade. Palladium Canadian Maple Leafs, issued by the Royal Canadian Mint, are one-ounce coins with a face value of 50 Canadian dollars. As such, the weight, purity, and face value of each coin is guaranteed by the Canadian government.
Tips for Buying Palladium MetalWhen purchasing palladium, investors should be sure that they are 100% comfortable with the transaction, not only from a price perspective, but also with the terms of the sale. By purchasing from a legitimate dealer, investors can ensure a total delivered price that includes commissions, delivery charges, and other possible fees. Legitimate dealers will also be able to provide prompt physical delivery of the palladium to the buyer. So any dealers offering “paper” substitutes for the actual, physical metal, pool investments, or other investment schemes that may carry significant counter-party risks should be avoided. With proper due-diligence, investors may mitigate the risks that could potentially arise from transactions with less-than reputable dealers.
Call a Monex Account Representative at 1-800-444-8317 to discuss how to buy palladium bullion today. All Monex Account Representatives are versed in the many intricacies of palladium bullion investing, and can help match each investor with the palladium investment that best fits their needs.
Monex Account Representatives are normally available between 5:30am and 5:30pm Pacific time, Monday through Friday (except national holidays)... and on many weekends.
Give us a call... give our service a try... and compare our prices. You'll see why Monex has been America's trusted name in precious metals investing for more than 40 years.