Platinum could well be next gold for investors

By Daryl B ChapmanAre you worried about your future? Do you want to stay on top of your finances? With so many people losing their jobs because of economic downturn, people are becoming more realistic on how they are managing their finances. They are looking for secured alternatives to keep their money.

Financial experts believe that because of the unpredictability of the economy, people should learn how to budget their money wisely. The expenses should not be more than the actual earnings or else they will end up loaning in banks and debts may increase if people are not so careful. One way to protect wealth is to invest in a good investment vehicle. One of the best investment vehicles is venturing in rare collectibles like platinum.

Platinum is a popular choice among coin collectors and investors alike. It is very rare and its supply is limited. For this reasons, many are opting to obtain this metal as part of their portfolio. Platinum as investments can come in various forms from coins, bars, bullion to futures. Aside from the reasons mentioned above, why should people venture in platinum?

Currently, platinum is one of the most expensive metals in the global market. It is even more costly than Gold and silver. If you have the budget, then invest in platinum. However, if your budget is limited, you can start with coins because they are more convenient to have. The price of platinum is sometimes even double the price of gold. However, when the economy is down, the price can go down as well.

If you are going to conduct a study about platinum, you will find out that platinum can also be found on the moon and the meteorites in outer space. Only a small portion is found in the phase of the earth. Eighty percent of which are found in South Africa, eleven percent in Russia and the remaining six percent in North America.

As compared to the annual production of Gold which is 82 million troy announces,Platinum only has a yearly production of five million troy ounces. Given that information, the supply of platinum is considerably diminishing and with the high demand of platinum in the global market, the price of this rare commodity is estimated to rise significantly.

Based on statistics, China, India and other Asian countries are the biggest consumers of jewelries today. There are even reports that China's demand for platinum jewelry has doubled in just one year. These countries are very interested in acquiring platinum for their jewelry production because characteristically, platinum has Silver blue color making it ideal and very in demand in the jewelry industry.

As mentioned previously, platinum as investments come in different forms. If you are a first time investors, you may start with coins and bullion. Coins and bullion are easy to transport and if you are saving on storage you can just keep it at home, locked in a secured cabinet or safe. 

Once you feel the need to upgrade you can simply advance to more complex and sophisticated investment options in platinum like Platinum stocks, mutual funds, ETFs and futures. These investments can provide promising returns, however they are not recommended for beginners because these can investments are complicated and very risky.

If you are looking for an investment vehicle to venture on, why not invest in platinum? But before you do, analyze your budget and know everything about platinum by continuous research. Good luck!
Courtesy : EzineArticles.com