Your Opinion On Platinum Purchase

Discussion in 'Platinum' started by Caneorange, Aug 28, 2015.

  1. Caneorange

    Caneorange Member

    Joined:
    Jan 26, 2015
    Messages:
    96
    Likes Received:
    0
    Trophy Points:
    6
    Thinking about getting an oz of Platinum this weekend and what some opinions. I live in central USA and tend to buy online through provident metals. They currently only have 3 1 oz options for platinum a random year perth mint platypus for $89.95 over spot, a valcambi bar for $54.95 over spot, or a scotiabank bar for $49.95 over spot.

    My gut says since this is a flip intended purchase go with the smallest premium, but no clue if this is even a reasonable premium at ~5% premium.

    Any thoughts appreciated.
     
    Caneorange, Aug 28, 2015
    #1
  2. goldpelican

    goldpelican Administrator Staff Member

    Joined:
    Jun 29, 2009
    Messages:
    17,648
    Likes Received:
    581
    Trophy Points:
    113
    Check the buyback prices - then get the item with the lowest spread.

    Platinum is undervalued relative to gold at the moment in my opinion.
     
    goldpelican, Aug 28, 2015
    #2
  3. Silverpv

    Silverpv New Member

    Joined:
    Jul 16, 2015
    Messages:
    484
    Likes Received:
    0
    Trophy Points:
    0
    Location:
    Los Angeles
    Yeah.. ultimately, its getting the one with the lowest spread in the buybacks. Genrally coins are given a higher premium than coins, but my LCS took the bar for the same price as the coin.

    List your exit strategies. Go to the store, call wherever you intend on selling them, sell something first if its online.
     
    Silverpv, Aug 29, 2015
    #3
  4. FutureMoneyTrends

    FutureMoneyTrends New Member

    Joined:
    Jul 12, 2014
    Messages:
    18
    Likes Received:
    0
    Trophy Points:
    0
    FutureMoneyTrends, Sep 21, 2015
    #4
  5. motorbikez

    motorbikez Member Silver Stacker

    Joined:
    Jul 27, 2013
    Messages:
    787
    Likes Received:
    12
    Trophy Points:
    18
    Location:
    United Kingdom
    motorbikez, Sep 21, 2015
    #5
  6. hankS

    hankS New Member

    Joined:
    Aug 13, 2010
    Messages:
    24
    Likes Received:
    0
    Trophy Points:
    0
    Palladium is apparently 32x rarer than gold, is used in more applications and is cheaper than Platinum.

    I think Platinum and Rhodium were overhyped in the past into unsustainable bubbles and have only 'crashed' back to realistic prices. I can't imagine you losing money by buying Platinum, but if you think you're going to turn a significant profit "when the price rebounds" I don't see that happening.

    But personally for a flip I'd go for the coins, because more people collect coins than bullion and its all the same to traders. I don't think spread matters much as long as its the typical spread for that form (bullion or coin) as you get that back in the sale anyway.
     
    hankS, Sep 22, 2015
    #6
  7. Porcello

    Porcello New Member

    Joined:
    Apr 20, 2015
    Messages:
    453
    Likes Received:
    0
    Trophy Points:
    0
    Location:
    NZ
    We are simply in a commodity smackdown (whatever the reason may be) so all industrial metals are suffering, including platinum. Gold is more immune due to its almost non existent industrial use.
     
    Porcello, Sep 22, 2015
    #7
  8. toofastdriving

    toofastdriving New Member

    Joined:
    Jun 8, 2015
    Messages:
    7
    Likes Received:
    0
    Trophy Points:
    0
    Location:
    Melbourne, AU
    I've been thinking the same - but it seems the price has been in freefall since the middle of last year - not sure where it will end.
     
    toofastdriving, Sep 22, 2015
    #8
  9. Ronnie 666

    Ronnie 666 Well-Known Member Silver Stacker

    Joined:
    Mar 16, 2011
    Messages:
    2,430
    Likes Received:
    126
    Trophy Points:
    63
    Location:
    Australia
    Ronnie 666, Sep 23, 2015
    #9

Share This Page