What Are the Different Types of Precious Metals That Exist Today?

When people think of investments, they often think of stocks or cryptocurrencies. These investment markets often have a higher chance of building long-term wealth. But, as any investor knows, it’s never good to put all your eggs in one basket.

Building wealth through these investments is excellent. But, how can you preserve wealth when the stock and crypto markets suffer? Both these markets are notorious for their fluctuations, especially in the era of COVID-19.

Investing in different types of precious metals can hedge against such volatility. These metals are excellent for portfolio diversification, protecting your assets in hard times.

The world of precious metals can be just as fun and exciting as other markets. Learn more about the types of precious metals available in the guide below!

Types of Precious Metals: Gold Alloys

The most well-known type of precious metal is gold. Civilizations have held gold in high regard for millennia, and it retains significant value today.

Although the US moved away from the gold standard, the federal government continues minting gold for investors. You can exchange this gold for fiat currencies like the dollar.

People love gold for bullion investing. Bullions are coins or bars made from precious metals like gold.

When you invest in gold alloys, you can receive these bullions. Many people value these gold coins and bars as their prized financial assets.

Silver Alloys

Gold is the most famous precious metal, but silver is its close second. This metal has several uses in the industrial world, making it valuable in different ways than gold.

Like gold, silver is a popular option for bullion investing. Investors can receive silver coins and bars for their private ownership, just as they can with gold. This fact makes silver investments a well-beloved option for many in the financial industry.

Platinum

Although it’s not as famous as a precious metal, platinum has incredible value. In fact, it’s significantly rarer than gold!

Like silver, platinum finds many uses in the industrial world. It has remarkable corrosion resistance, allowing developers to use it in lab equipment and more.

Platinum can also be a bullion investment. However, platinum has a unique trend in the precious metals world.

In times of economic ease, platinum’s value increases. However, when the economy is more uncertain, platinum’s value decreases.

Fans of gold investments will notice that gold follows the opposite trend. As such, these two metals make excellent complementary pieces for portfolio diversification.