Palladium

Palladium is a member of the platinum group metals, and available for precious metals enthusiasts to buy and sell in the form of bars and coins from SwissBullion.ch. Palladium is produced primarily in South Africa and Russia, and is predominantly used in the automotive industry to make catalytic converters for cars. Palladium is much rarer than gold, and its scarcity alongside its demand in the automotive industry can cause large swings in the metal's price. All palladium bars and coins from Swiss Bullion have a minimum fineness of 999.5, and are available for VAT-exempt Swiss storage or for worldwide delivery.

Palladium – Why You Should Consider Investing

There are precious metals other than gold and silver that can be added to a portfolio for the purpose of diversification. One such metal is Palladium, an extremely rare metal with qualities close to those of silver. 

What is Palladium

Palladium is a noble metal, belonging to the platinum group, along with platinum, rhodium, iridium, osmium, and ruthenium. It has the chemical symbol Pd and atomic number 46. Palladium was named after an asteriod that was called Pallas. It was discovered in 1803 by British scientist, William Hyde Wollaston. Back in the 1800s, Palladium had greater economic value than Platinum. This is a pattern that has repeated recently. It is a lustrous silvery-white color and it has the lowest melting point of all platinum group metals. 

This precious metal is mainly found in Russia, followed by mines in South Africa, Canada, and the USA. 

It is considered an extremely rare metal, as its supply is considered to be far less than that of gold or even platinum. To be more precise, palladium is 15 times rarer than platinum and 30 times rarer than gold.

The Palladium Price

Historically palladium price has been lower than gold and platinum. However, in recent years there has occurred a shift in the price of this precious metal. On December 2018, Palladium’s price reached an all-time high with $1,271.80 per Ounce.

This trend in Palladium’s price has yet to change, as its price continues to grow in 2019.  

Factors Affecting Palladium’s Price

The biggest factor that affect Palladium’s price is its supply. As mentioned above, the biggest supply of this precious metal comes from Russia and South Africa. In the past, mining disruptions have caused Palladium’s price to sky-rocket. For this reason, it is very possible that something similar might happen in the future.

Another factor that influences Palladium’s price is the metal's vast industrial applications. 70% of Palladium is used as automobile catalytic converters, while 10% is used in electrical applications. Therefore it is quite possible that the demand coming from those industries might affect this metal’s price.

Industrial Uses of Palladium

Palladium has numerous industrial uses. It's most common use is in making automobile catalytic converters. These are devices which convert harmful emissions to less dangerous ones.   

However, this is not the only use for palladium. It is also used in electronics, technology, dentistry, photography, and jewelry. Palladium can also be alloyed with gold to create “white gold”. 

Palladium Bars and Coins

Palladium is less common as a precious metal product due to its rarity. However, with the metal's recent price increases, demand for the metal has followed. The only country to currently maufacture a palladium coin annually is the Royal Canadian Mint. The palladium maple leaf coin is available in a 1 oz size, and is issued annually. Clients may purchase this coin individually, or in lots of 20 pieces. 

Numerous government mints also manufacture palladium bars. The most prominent are Valcambi, Argor Heraeus and PAMP. Both Credit Suisse and UBS also sell a palladium bar designed for their clients. 

Clients may purchase palladium bars for VAT-exempt Swiss storage or delivery.