Six facts that explain why platinum is considered as The Rich Man’s Gold

The value of platinum is greater than the value of other precious metals such as gold and silver. Platinum is considered the most precious metal since ancient times and is even well-known as the rich man’s gold. Delving deeper into the details of this metal, you will find that a greater number of people prefer to invest their finances in this valuable metal to make greater profits.

Do you know why it is popular as “The Rich Man’s Gold”? There are several reasons that explain this peculiar identity of this worthy metal. One of the main reasons is its relative scarcity. Here are six facts that tell you the significance of the platinum price and the reason behind the increasing demand of this metal.

1. If you research on the supply of this precious element annually, you will find that its annual supply is just about 130 tons which is the equivalent to only six percent (by weight) of the entire western world’s annual mine production of gold and less than one percent of mined silver. Platinum’s annual global production amounts to the total of one day’s silver production in just the USA.
2. The production of this valuable metal, also known as “so-called white gold”, takes upto six months or more for the entire extraction process. Approximately ten tons of ore is supposed to be mined, at times almost a mile underground at temperatures greater than 120 Fahrenheit, in order to produce one pure ounce of platinum.
3. Several researches and studies reveal that counting all the platinum mined together till date throughout the history would fill a basement with less than 25 cubic feet. This is why the platinum price is greater than any other metal.
4. Even though its relative weight does not contribute to its value, this highly valued metal is heavier than gold. One cubic foot of this precious metal is little greater than 1,330 pounds, which is about 11 percent denser than gold.  This is why platinum bullion is more valuable than a gold sovereign. If you study more about its weight, you will find that a 6 inch cube of “The Rich Man’s Gold” weighs as much as an average man.
5. In comparison to the amount of platinum mined, most of this metal goes into industrial applications. Statistics reveal that 50 percent or more of the annual production of this worthy metal is used up by various industrial applications, unlike gold.
6. Unlike gold, you can find a large number of inventories of the above-ground platinum worldwide. This is why any breakdown of two major supply sources of this so-called white gold would hike the platinum price tremendously.

These are six facts that explain why platinum is regarded as “The Rich Man’s Gold”. This highly valued element is extremely scarce throughout the world, which makes its price soar high in the market attracting numerous investors to invest in it for financial gain. However, at times, the price of this precious element falls in the market. Purchasing platinum bars when its price falls and selling them when the price soars can help you obtain great financial profits and make your investment in this worthy metal worthwhile.