Investing in platinum coins offers a unique opportunity for those looking to diversify their precious metals portfolio beyond gold and silver. Known for its rarity, industrial demand, and resilience, platinum is often considered a strategic hedge against market volatility.
Platinum coins are particularly attractive to investors due to their government-backed purity, recognizable designs, and ease of liquidity. Whether you’re a seasoned investor or just starting out, choosing the right platinum coins can make a significant difference in the value and performance of your investment.
The Best Platinum Coins to Invest In
Here’s a list of some of the best platinum coins to consider for your investment portfolio or your collection.
American Platinum Eagle 1 Oz Coins
These coins from the United States Mint are part of the American Eagle series, which also includes gold and silver versions. American Platinum Eagle coins are favorites among investors and collectors because of their beautiful design featuring the Statue of Liberty on the obverse and a soaring eagle over a rising sun on the reverse. The U.S. Mint also makes a proof version of the coin.
Face Value:
- $100 (the highest face value of any U.S. coin).
Canadian Platinum Maple Leaf 1 Oz Coins
Platinum Maple Leaf coins are part of the renowned Canadian Maple Leaf series, which includes gold and silver versions of the coin. Like their gold counterparts, these platinum coins are known for exceptional purity. All denominations of the coin are 0.9995 fine platinum and feature the iconic maple leaf design on the reverse, with Queen Elizabeth II’s portrait on the obverse. They come in five denominations, ranging from 1/20 oz to 1 oz, providing options for various investment budgets.
Face Value:
- CAD $50 (far below the actual market value).
Unique Platinum Bullion Coins
You can buy all kinds of unique platinum coins that come in various designs, denominations, and sizes. Some of the best are the Perth Mint’s series of ⅓ oz platinum bullion coins featuring captivating wildlife designs. Examples include the Humpback Whale, Emperor Penguin, and Leopard Seal coins. These beautifully crafted coins are struck in 0.9995 fine platinum. Only 25,000 coins of each type exist, making them rare.
Best Alternatives to Platinum Coins
If none of these coins struck your fancy, don’t worry. You can find a wide range of great alternatives like platinum bars or other precious metals. Platinum bars are often priced closer to the base value of the metal than coins, so if you just want basic exposure to the platinum prices, they may be a better choice.
Gold and silver can be better investments than platinum in times of economic uncertainty because of their status as safe-haven assets and their reduced dependence on factors influencing their supply and demand. You can start trading gold, silver, platinum, and palladium in minutes with the best precious metals dealers on the market today.
What is Platinum and What is It Used For?
Platinum is a rare, dense, and corrosion-resistant precious metal with a silvery-white appearance and incredible catalytic properties. Known for its incredible durability and high melting point, platinum is a vital component in a wide range of products. Some common and important uses of platinum include:
- Automotive industry: Platinum is used in catalytic converters to reduce harmful emissions in vehicles. It acts as a catalyst, converting emissions into less harmful gases. Its widespread use — along with rhodium — in combustion engines reduces the damage they deal to the environment.
- Jewelry: Platinum’s beautiful luster and its resistance to tarnish and wear makes it ideal for creating high-quality jewelry.
- Electronics: Platinum is used in liquid-crystal displays (LCDs), which most phones and computers use for their screens, hard disk drives, computer components, and other electronic devices because of its excellent conductivity, inert properties, high melting point, and resistance to corrosion.
- Medical equipment: Platinum’s biocompatibility and resistance to corrosion make it perfect for use in pacemakers, dental implants, and other medical devices.
- Chemical industry: Platinum is used as a catalyst in thousands of chemical reactions because of its unique chemical properties. For example, platinum catalysts are used to make silicone, plastics, and nitric acid.
Given its many applications and limited supply, platinum has become a valuable investment commodity.
What to Look For in the Best Platinum Coins
Selecting the best platinum coins comes down to personal preference. However, the most popular platinum coins tend to be the best options as they offer greater liquidity. It’s often much easier to buy and sell popular coins, especially true for platinum coins, because they aren’t as common as their gold and silver counterparts. Choosing coins that are easier to buy and sell can be a smart move. Rare coins can also be a good choice because their prices are often more volatile, but they still need to be popular with collectors.
Where to Invest in Platinum Coins
Are Platinum Coins Worth Investing in?
Platinum coins have the potential to be a great investment with the right investment thesis and timing. However, you should consider your individual financial goals and risk tolerance before making a decision. By providing insights into the best platinum coins and their attributes, this article provides basic guidance to help you make your own informed decision on whether the best platinum coins are a suitable addition to your investment portfolio.
Frequently Asked Questions
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Yes, platinum can be a good investment due to its rarity, industrial demand (especially in automotive and clean energy sectors), and potential for long-term price growth. It also offers portfolio diversification and can act as a hedge against inflation and currency fluctuations. However, its price can be more volatile than gold or silver, so it suits investors with a moderate to high risk tolerance.
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It depends on your investment goals. Platinum is generally more stable and widely recognized, offering long-term value and diversification. Palladium has seen higher short-term gains due to strong demand in the automotive industry but is more volatile and sensitive to market shifts. If you prefer stability, platinum may be better; if you’re seeking potential higher returns and can handle risk, palladium might be the choice.
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The best way to invest in platinum depends on your goals and risk tolerance. Common options include platinum bullion coins or bars, platinum ETFs, platinum mining stocks, and futures contracts.
