Investors looking to cash in on precious metals can look beyond the lure of
gold and silver platinum and palladium have become new objects of their
affection. Investing in "P&P" used to be as difficult as investing in any
other physical asset, such as gold or silver. But exchange-traded funds (ETFs)
have emerged as a more convenient way to gain exposure to these commodities.
Platinum and palladium ETFs have traded on European exchanges for years but are
relative newcomers to U.S. markets. Several funds were launched within the past
couple of years, so they don't bring the extra assurance of a long track
record. But to all precious metals, there is a time and a season. These twin
white metals (they're actually "sister" elements in the platinum family)
soared last year as nightmares of the 2009 supply glut gave way to a resurgence
of demand for both commodities. But the March earthquake, tsunami and nuclear
disaster in Japan interrupted their comeback season. A little background:
Platinum is the upgrade to gold in jewelry, but palladium is important to
jewelry, too.
No comments:
Post a Comment