Finder makes money from featured partners, but editorial opinions are our own.

How to invest in platinum

Investing in platinum might not be your first thought when you think of this precious metal but it can be a popular choice.

Platinum is used to make jewellery, particularly rings. But this dense and durable grey-coloured metal is also found in catalytic converters on vehicles, and traces of it can even be found in some dental fillings and mobile phones.

Platinum is much rarer and harder to mine than gold and silver, which makes it a more expensive commodity to buy. Here are 3 different ways you can invest in platinum.

Best for Beginners

CIBC Investor's Edge


  • Easy to use platform
  • Low fees
  • Student and young investor discounts

Best for Lowest Commissions

Finder Award

Interactive Brokers


  • Access to international stock exchanges
  • Low margin rates
  • Powerful research tools

Best for Easy-to-use App

Questrade


  • $50 in free trades
  • Low commissions
  • Easy-to-use app
Most people think of gold when it comes to shiny chunks of bullion, but you can also buy platinum bullion.

This can come in the form of coins (usually available to purchase from official government mints) or bars.

A platinum bullion bar can weigh from one ounce up to one kilogram or more, and is usually accompanied by a form of assay card or a certificate of authenticity, which contains various details on its purity and origin.

Platinum bullion is of a finer purity than the platinum found in jewellery and should be at least 99.95% pure (also referred to in the industry as 999.5 or .9995 pure).

Remember to check that you are buying bullion from a reputable dealer, and also factor in that you will probably want to pay for the cost of secure storage.

Pros

  • You have a physical asset that you can hold, store or sell on.
  • Coins and bullion are relatively easy to purchase.

Cons

  • You may need to pay for secure delivery and/or storage.
  • You should check the authenticity of the seller and the bullion itself.

Investing in platinum ETFs

For investors looking to the stock market to make returns from platinum, then ETFs (or exchange traded funds) are an option to consider.

These are funds that invest in a basket of different things – such as equities, bonds and commodities – and you can find more detailed information on them in Finder’s ETF guide.

ETFs are a popular choice among both novice and experienced investors, because they can help diversify portfolios and reduce risk by collectively investing in a range of assets. And they also have the ability to hone in on specific industries or commodities, if that is what you’re looking for.

There are various platinum-focused funds to choose from on the world’s stock markets, which will invest in things like platinum bullion, platinum futures contracts or platinum mining companies.

Major platinum ETFs include:

  • Aberdeen Standard Platinum Shares EFT (NYSEArca: PPLT)
  • GraniteShares Platinum Trust (NYSEArca: PLTM)
  • iPath Series B Bloomberg Platinum Subindex Total Return ETN (NYSEArca: PGM)

But if you’d like a more limited exposure to platinum then there are also funds that include platinum as part of their wider investment portfolios, or ETFs that track the precious metals sector as a whole.

Pros

  • ETFs can give you access to a range of platinum-related investments.
  • A good option if you don’t want to single out one company to invest in.

Cons

  • You don’t get to choose the individual investments yourself, this is done by the fund managers.
  • There will be a fund management fee to pay.

Buying shares in platinum mining companies

If you’re more interested in buying specific shares in platinum-related companies, then purchasing stocks in platinum mining companies could be for you.

As platinum is scarcer and more difficult to extract than gold or silver, there are fewer mining companies in this part of the precious metals sector, but some of the world’s largest platinum mining firms include:

  • Anglo American Platinum Limited (OTC Markets: ANGPY)
  • Impala Platinum Holdings Limited (OTC Markets: IMPUY)
  • Tharisa plc (LSE: THS)
  • Sibanye Stillwater Limited (NYSE: SBSW)
  • Platinum Group Metals Ltd. (TSX: PTM)
  • Generation Mining Limited (TSX: GENM)
  • Eastern Platinum Limited (TSX: ELR)
  • Mene Inc. (TSXV: MENE)
The financial performance of any mining company can depend on a number of factors, such as demand for the metal being mined; a fluctuation in global prices for the raw material; availability of the raw material, for example, if certain mining seams begin to run out; environmental issues surrounding the mining process; local issues affecting the mining extraction, for example, civil unrest or a striking workforce; and wider economic global issues, such as a recession.

Pros

  • Choosing the right stocks can generate promising returns.

Cons

  • The value of your shares could go down as well as up.

If you want to start investing either in EFTs or company shares, you can do so through a broker or by signing up to a share trading platform. Weigh up your options by reading our investment guides, and compare share trading platforms using the table below.

Platinum performance

The graph below shows more recent data on the value of platinum (prices are in US dollars).

In March 2008, the price of platinum peaked at around USD$2,252 but fell to USD$774 by November. In the last 5-year period, platinum peaked at a price of USD$1,293 per ounce in February 2021, which was up from USD$622 in March 2020.

Compare these providers to invest in platinum

1 - 4 of 4
Name Product Finder Rating Available Asset Types Stock Trading Fee Account Fee Signup Offer Table description
Interactive Brokers
Finder Rating:
★★★★★
4.3 / 5
Stocks, Bonds, Options, ETFs, Currencies, Futures
min $1.00, max 0.5%
$0
N/A
Winner for Best Overall Broker in the Finder Stock Trading Platform Awards.
CIBC Investor's Edge
Finder Rating:
★★★★★
3.8 / 5
Stocks, Bonds, Options, Mutual Funds, ETFs
$4.95–$6.95
$0 if conditions met, or $100
N/A
An easy-to-use platform with access to a variety of tools to help you trade with confidence.
Questrade
Finder Rating:
★★★★★
4.3 / 5
Stocks, Bonds, Options, Mutual Funds, ETFs, GICs, International Equities, Precious Metals
$4.95 - $9.95
$0
Get $50 in free trades when you fund your account with a minimum of $1,000.
Opt for self-directed investing and save on fees or get a pre-built portfolio to take out some of the guesswork.
CASHBACK
Qtrade Direct Investing
Finder Rating:
★★★★★
3.7 / 5
Stocks, Bonds, Options, Mutual Funds, ETFs, GICs
$6.95 - $8.75
$0 if conditions met, otherwise $25/quarter
Get up to $150 cashback. Use promo code OFFER150. Conditions apply. Ends October 31, 2023.
Low trading commissions and an easy-to-use platform with access to powerful tools and a wide selection of investment options.
loading

Frequently asked questions

Disclaimer: This information should not be interpreted as an endorsement of futures, stocks, ETFs, CFDs, options or any specific provider, service or offering. It should not be relied upon as investment advice or construed as providing recommendations of any kind. Futures, stocks, ETFs and options trading involves substantial risk of loss and therefore are not appropriate for all investors. Trading CFDs and forex on leverage comes with a higher risk of losing money rapidly. Past performance is not an indication of future results. Consider your own circumstances, and obtain your own advice, before making any trades. Read the Product Disclosure Statement (PDS) and Target Market Determination (TMD) for the product on the provider's website.

More on investing

How do ETFs work?

How do ETFs work?

Your guide to how ETFs work and whether this type of investment is right for you.

Read more…
How to read stock charts

How to read stock charts

Learning how to read stock charts and recognize chart patterns can unlock your success as a trader.

Read more…
What are stocks?

What are stocks?

Owning a stock means you own part of a company and can potentially grow your wealth. But there is a risk of loss.

Read more…
Best time to buy stocks

Best time to buy stocks

The best time to buy stocks could be right after an IPO, during expansion periods or when other investors are buying or selling.

Read more…
How to analyze a stock

How to analyze a stock

Learn how to research stocks and find the right investment opportunities in 4 steps.

Read more…
3 strategies for investing in volatile markets

3 strategies for investing in volatile markets

Market volatility can be nerve-wracking. Discover 3 trading strategies plus the pros, cons and risks of investing in volatile markets.

Read more…

More guides on Finder

Ask an Expert

You must be logged in to post a comment.

Go to site