White Metals

Category: Commodities

27-04-2010

While most investors are familiar with investing in gold and silver, there are other precious metals such as platinum and palladium that are less obvious but nevertheless just as valuable. Indeed research has shown that inclusion of these so called “white metals” can increase a portfolio’s performance whilst at the same time adding valuable diversification benefits and reducing the
portfolios volatility.

The easiest way for investors to gain exposure to these white metals is via exchange traded commodities, where investors can buy Platinum or Palladium via a single share. The ETFS Physical Platinum (PHPT.L) and ETFS Physical Palladium (PHPD.L) can be bought on the London Stock Exchange during normal market hours, in US dollars (GAM can obtain a Sterling equivalent price with the market) with an annual management fee of just 0.49% which covers the cost of storage and management. Both these ETFs are physically backed with the metals being allocated in a vault with HSBC in the US.

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