Considering Investing in Precious Metals in Los Angeles, CA? How to Choose

Posted by Daniel Lawrence on June, 2020

Traditionally, precious metals provide safe havens that preserve wealth during volatile periods in stock markets. You’ll find multiple ways to invest, such as owning the metal, owning shares of stock in a mine, owning shares in mutual funds, or through retirement funds such as a Gold 401K. Each investment method has several factors to consider.

Bars Versus Coins

Precious metals in either of these forms share the advantage of being easily transported. Usually, either one can be readily exchanged for necessities in a time of crisis.

Bars are stamped with the manufacturer’s hallmark, the refiner, a registration number, and the weight and purity. With so little required to produce bars, they can be purchased for far less than coins.

Coins minted by a national government will meet certain standards regarding the amount of metal in the coin and the size and weight of the coin. These coins also are recognized as legal tender for the face value of the coin. Greater care must be taken when storing and transporting coins, however, because their investment value depends, in part, on the condition of the coin and the cultural and artistic significance of the design.

Stock certificates and shares, such as in a mutual fund, are also easily transported but may be less easily exchanged for goods and services.

Gold, Silver, Platinum, or Palladium – Which metal?

The value of gold fluctuates mainly with demand in investment markets, and demand increases in times of volatility.

The other metals have industrial uses as well as uses as investments. Consequently, the value of these other metals shows more volatility, fluctuating with demand in the investment market and in the industrial market. In a situation where a volatile investment market couples with a decrease in industrial activity, the value of these metals is likely to be more stable.

If you have more questions about opening a Gold 401K or expanding your portfolio to include investments in precious metals, you’ll find that we at Orion Metal Exchange can provide a wealth of information. Contact our experts at We’ll help you choose the precious metal investment that’s the best fit for your needs and goals.

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