Don Dion, thestreet.com, produced a video today diving into why it may be time for you to move some of your gold holdings to platinum. Since gold does not serve any real industrial demand, it is a great way to protect portfolios during times of market contraction. Don still see’s gold as a good investment due to currency risks, however with the market expanding, more industrial precious metals may perform better. Don states that, “Platinum, unlike gold, serves industrial purposes and is becoming more essential each day. Demand forecasts for the metal look strong given its use in the production of household items such as LCD televisions, as well as its use in the production of catalytic converters for automobiles.” The increasing demand for industrial metals is bidding up the prices for the metal higher, making them more desireable to those seeking higher rates of return.
ETFs related to this article: iShares COMEX Gold Trust ETF (GLD), Market Vectors Gold Miners ETF (GDX), ETFS Physical Swiss Gold Shares (SGOL), Tocqueville Gold Fund (TGLDX), ETF Securities Physical Platinum Shares (PPLT), First Trust ISE Global Platinum Index Fund(PLTM), and the ETFS Physical Silver Shares (SIVR).
See Don’s full video below: