Just when I thought I could invest Rs. 5,000 per month on gold, a friend of mine suggested to invest in platinum, since it’s gaining popularity. Is it safe to invest in platinum? Can I invest all my money in platinum or divide it into Rs. 2,500 and invest in both the metals equally? Which is safer or gives better returns.
You can invest in platinum too. However, the problem is it is that platinum is not very popular. It will be difficult to really sense the market on platinum and take informed decision. Gold is widespread and it is relatively easy to sense the direction where gold prices are headed.
You can buy e-platinum from NSEL (National Stock Exchange Limited). Go to their site and find out the process to open account and start trading. You can also but platinum bars and coins but since it is not very common, you may find it difficult to ascertain the grade or authenticity of the metal.
It is very difficult to predict which will give you better returns as both these metals are driven by sentiments unlike stocks or mutual funds which are driven by economic or company’s performances.
I would suggest you also think of mutual funds for possible investment choice. Mutual funds can beat gold or platinum over longer investment horizon.
Platinum is actually becoming quite popular among Indian investors since it helps in diversifying investor portfolios and also serves as a long-term investment strategy.
You can purchase platinum physically in the form of bars, coins and bullions or through financial options via the National Spot Exchange in India.
Most financial analysts agree that this is a good time to invest in platinum due to its low cost at present, which is expected to rise in the near future as platinum jewellery markets keep evolving.
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