Should You Invest in Platinum, Gold, or Silver in Year 2020?

Platinum ScrapPrecious Metals InvestingRecycle Precious Metals
Written By Barry Lenson

As year 2020 begins, a lot of people have been asking whether platinum, gold, silver or some other metal will turn out to be the best precious metal investment in the months ahead.

The most common answer to that question is almost always something like this . . .

You should invest in the metal that is most likely to appreciate in value

That answer makes sense. After all, if you can buy a chunk of gold or any other metal for its current trading price, wait six months, and then sell it for more, then you have made a good investment. But our experience shows that other considerations factor into whether you can profit by buying precious metals and selling them later on. Let’s take a closer look at some of those reasons.

Can You Buy a Metal for Well Below Its Current Trading Price?

This is literally the $1 million question, because if you can buy gold, silver, or platinum scrap for pennies on the dollar – which is something that can be done – you can reasonably expect to make a lot more money from your precious metal investments.

And it can be done, if you remember to look for the right kind of scrap to invest in. If you buy a lot of old gold-plated items like jewelry, eyeglass frames or collectible medals, for example, you can literally buy low and sell high. The same holds true for platinum scrap, if you can get your hands on a large batch of platinum thermocouples or laboratory testing equipment.

Another way of looking at it is to think about buying a gold bullion bar, for which you are going to have to pay a little more than the current per-ounce trading price. You will buy it at its current price and if you want to sell it in six months, chances are very good you are only going to get about what you paid for it – or maybe a little more if the price of gold suddenly mushrooms. But we don’t expect that to happen, and neither do any other experts we know of. So our advice to you is, buy scrap and send it to us to be tested and processed. When your check arrives in the mail, you are going to be very well pleased.

Can You Buy a Very Large Quantity of Precious Metal Scrap?

This is another $1 million question. If you can make only a 10% profit on scrap you buy, you can do the math. If you buy $100 worth of scrap for $90 and profit only 10%, you are only going to make $10. Not worth it, you say?

But think again. What if you buy $1,000 worth of gold, silver or platinum scrap for $900? You will make $100. And if you buy scrap that contains $10,000 worth of precious metal . . . well, as we say, you can do the math for yourself. And the fact is, you can often profit much more than that 10% if you buy scrap wisely and have us recycle it for you.

So another secret of making good money in precious metals is to buy large quantities of scrap.

What about Silver, You Say?

With silver currently trading for only about $18 on the London Fix, you could be thinking that this would be a good time to forget about investing in it in the year 2020. Why even bother?

That is faulty thinking because it is possible to buy up very large quantities of silver scrap and waste and recycle it. And as we observed just above, buying scrap in large quantity is one of the secrets of making money in any precious metal.

And the fact is, materials that contain silver are just about everywhere. You can go hunting for platinum scrap for a long time and find very little of it. Silver, on the other hand, is plentiful and can be recycled profitably from a number of sources that include these:

  • Old silver-plated knives, forks and spoons, not to mention candlesticks and other decorative items

  • Photographic and x-ray film, paper, and developing chemicals

  • Printers ink

We can summarize the rule this way. If you can buy a lot of silver, you can profit a lot in silver.

So, What Will Your Investment Strategy Be in the Coming Year?

You could follow the common wisdom we wrote about at the start of today’s post, by buying platinum, gold, or silver at current trading prices and then hoping it will go up in value in the coming year. Or you could set your sights on scrap and make a lot more money.

Want to know more? Call our consultants today at 800-426-2344 and let us help you create a plan for profiting from precious metals. We can predict that when the year 2020 ends, you are going to thank us.   

Barry Lenson
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