Palladium, like its sister metals platinum, silver, and gold, is a great way to diversify your portfolio. Like the other precious metals, the price of palladium is fluid, and has the potential to yield both short and long-term growth.Palladium bullion coins, like the Canadian Palladium Maple Leaf, offer investors sovereign bullion with a $50 face value and a much higher intrinsic value.
In addition to providing valuable diversity to your portfolio, palladium is an excellent metal to invest in due to its high industrial usage and low supply. As mining increases to meet industrial need, the earth’s supply shrinks and increases the value of the remaining metal, growing your palladium return.
Spot price is the theoretical value of a commodity in the eyes of investors at any point in time; dealers use spot price to determine the base price of a commodity before adding their premium.
A number of factors make the spot price of palladium volatile.These factors include:
Spot price can be used to assess the risk associated with investing in palladium, and the help an investor identify the “best deal”.Because the perceived value of palladium fluctuates in time, investors compare current spot price to historic and recent spot prices.Minor fluctuations over sustained periods suggest stability, and consistent, unidirectional change can be used to infer trajectory.
Additionally, knowing spot price helps you determine what dealers charge the most reasonable premiums. When you shop online or local bullion shops, the price you see is:
Spot price+Dealer Premium = Final Price
When you identify spot price, you can subtract that from the final price to find the best deals on your favorite palladium products.
Spot price can be quoted in a multitude of denominations, worldwide; however, on the Provident website, spot price is quoted in US dollars (USD).
Spot price is constantly changing. Commonly, spot price will change by a few cents, but significant developments in the economy, environment, political climate, etc., have the potential to cause large scale shifts in the spot price of a commodity.
When you are browsing and adding products to your cart on the Provident website, your order is subject to changes in spot prices. During the checkout process, you will arrive at a “Place My Order” page. You will see your total and have two minutes to confirm your order, locking in your total at the the current spot price. If you do not confirm your order within 2 minutes, your total will be subject to any changes in spot price that occur before you confirm your order.
No; once you have confirmed your order, your purchase price will not change. After you place your order, you will receive a confirmation email with the total price you saw during checkout; this amount will never change, regardless of changing spot prices.
Provident Metals does not determine its own spot price; Provident uses the spot price as determined by the COMEX in New York City.
Spot price uses troy ounces (ozt).
Ask price is the amount requested by dealers to sell palladium bullion. Ask price is based off spot price; as spot price increases, ask price also increases.
Bid price is the amount offered by buyers to purchase palladium bullion. Bid price is based off spot price; as spot price increases, bid price also increases.
The premium is the difference between the ask price and the spot price, as determined by each individual dealer. Because dealers operate with overhead costs, a premium is added to each bullion product to cover costs associated with the sale.
1 troy ounce = 31.10 grams
1 kilogram = 32.15 troy ounces
Palladium is like other commodities, in that investors should be prudent with their purchasing. Invest when risk is low and you are aware of potential losses.
Studying market trends may help determine best times to buy and sell your palladium bullion.
A private mint is owned and operated by non-governmental agencies versus a sovereign mint which is government owned and operated.
Private mints are able to operate at a lower costs, allowing bullion to be priced lower for buyers. In addition to lower premiums, customers are offered a large selection uniquely designed products to meet collector demands.
Sovereign mints produce bullion with monetary value that operate as legal tender. Their quality, weight, and value are guaranteed by the government. Sovereign bullion is also accepted widely throughout the world, whereas privately minted bullion might not be.
The face value affects the monetary value of bullion, but the intrinsic value of the bullion is affected by the spot price of the precious metal from which it was created.
In Texas, tax is not required on physical palladium; because Provident Metals is located in Texas, you will not be charged tax.
Palladium, like other bullion, comes in bars, coins, and rounds. Of these, bars hold the lowest premium because it is most cost efficient to make them.
A precious metals IRA is a self-directed investment retirement account, funded by precious metals. Gold, silver, platinum, and palladium are eligible metals if they meet the .9995 purity requirement.
If you are purchasing from Provident Metals, it is absolutely safe to purchase bullion, online! Check out our thousands of reviews from customers who trust Provident with their business.