Rare metallic chemical elements of high economic value are called precious metals. Chemically precious metals have less reactivity than other elements, their luster and melting points are higher.
Precious metals were as important as money in history but today, they are more likely to be investment tools as well as they are used for industrial purposes. Gold and silver are considered valuable and admirable materials since ancient times. Lately industry discovered the usage of other precious metals such as iridium (used in alloys) and palladium (used in electronics and chemistry)
The most common precious metals are gold and silver since they both are used for industrial purposes and jewelry. Ruthenium, rhodium, palladium, osmium, iridium and platinum are also stated as precious metals.
In terms of finance; the term “precious metals” are similarly used for rare metals which have economical value.
Investors ask to allocate precious metals in order to guarantee their investments. Precious metals are alsı a protection method against inflation.
Ways of investment on precious metals:
Benefits of investment on precious metals (especially gold):
Unlike other investment or trade facilities, precious metals lose profit during stable economic conditions.
Precious metal supplies are not sustainable. If there occurs a lack of a specific type of precious metal in the market, this situation puts pressure on prices.