Palladium in my IRA? Thinking about diversifying beyond gold/silver.
- •My advisor out here in Scottsdale keeps nudging me to look at other precious metals to further diversify my holdings, specifically palladium.
- •I've always been a gold bug, and while I get why silver can be volatile and exciting, palladium feels...
- •My concern is liquidity.
Been heavy into physical gold and silver for years now, probably approaching $1.5M just in those two metals across multiple vaults, plus a good chunk in my self-directed IRA. My advisor out here in Scottsdale keeps nudging me to look at other precious metals to further diversify my holdings, specifically palladium. I've always been a gold bug, and while I get why silver can be volatile and exciting, palladium feels... different.
My concern is liquidity. I'm comfortable with the bid/ask spread on gold and even silver for the amounts I'm dealing with. But palladium? It's a much smaller market, and while the industrial demand is there, I worry about getting out quickly if I ever needed to shift capital. I've seen the price swings on palladium – wilder than gold, that's for sure. On one hand, the upside potential is appealing, especially if the EV transition hits some snags and catalytic converters remain a core demand driver longer than anticipated. On the other, the downside seems pretty steep if demand falls off a cliff.
For those of you with significant precious metals IRAs, especially if you're holding 7-figure portfolios, do you have any palladium exposure? If so, what percentage of your metals allocation does it represent? Are you buying bars, coins, ETFs through your IRA? Just trying to gauge if it's worth allocating, say, 5-10% of my dedicated metals funds into it, or if it's more of a niche play for those with even thicker skin than mine. Thanks for any insights.