Platinum on the cheap? My take.
- •Been seeing a lot of chatter lately about platinum and if it's the next big thing.
- •Right now, with gold pushing 2300 and platinum lingering around $900-$1000, it sure *feels* undervalued.
- •The historical ratio between gold and platinum usually favors platinum.
Been seeing a lot of chatter lately about platinum and if it's the next big thing. As someone who’s had a decent chunk of my portfolio (sitting comfortably between $500k-$1M) in precious metals for about 15 years now, primarily gold, I’ve always kept an eye on its shinier, rarer cousin. Living in Dallas and having spent my career in oil, I’ve seen commodity cycles enough times to know that sometimes the market just presents opportunities that feel too good to be true, and sometimes they actually are.
Right now, with gold pushing 2300 and platinum lingering around $900-$1000, it sure feels undervalued. The historical ratio between gold and platinum usually favors platinum. When you look at its industrial demand, especially with the push for hydrogen fuel cells and continued automotive catalytic converter use (even with EVs, there’s a transition period), it makes you wonder if the market is just underestimating its long-term trajectory. My gut, based on years of watching these cycles, says there's certainly a strong argument for it. I'm actively considering rotating a small percentage of my gold profits into platinum, maybe 5-10%, just to dip my toes in.
My concern, though, is always liquidity. Gold has always been king for me in that regard, especially in an IRA. Platinum, not so much. Has anyone here actually moved a significant portion of their IRA into platinum? What was your experience with the premiums and spreads? And more importantly, does anyone have a strong counter-argument to platinum being undervalued right now? I'm trying to poke holes in my own thesis before making any moves. If you're new to precious metals IRAs and trying to figure out what metals make sense, you might find that Gold IRA Quiz helpful for understanding the different options. I wish I had something like that when I first got started.