Is rhodium a good investment?

Is rhodium a good investment?

Rhodium has rarely been considered an investment precious metal like gold, silver, platinum, and palladium. However, it is far, far rarer than all of these metals and may merit investment consideration. Only 28 tons of rhodium are mined annually compared to 220 tons of platinum and over 2,300 tons of gold.

Is there a rhodium stock?

Rhodium is not currently exchange-traded, making it one of the few metals that adhere strictly to supply and demand principles.

Is there a rhodium ETF?

1nvest Rhodium ETFs are backed by physical rhodium, stored and insured in secured custodian vaults. Each rhodium ETF will have recourse to good delivery rhodium bars. The rhodium is segregated, individually identified and allocated in secured vaults.

Why are rhodium prices falling?

Supply disruption resulting from COVID-19 also helped prices move higher. We notice that rhodium prices have been crashing since the middle of May 2021 and the reason for this is that liquidity in the market is improving as supply normalizes.

What is the best way to invest in rhodium?

At the moment, the best way to buy physical rhodium is in the form of bullion bars. Rhodium coins exist, but they are not significant players in the rhodium bullion markets, so buying cheap rhodium bars is the least expensive way to acquire it.

Why has rhodium price dropped?

The metal hit a record high in March this year as demand outstripped supply. Reduced automotive output has led to lower catalytic converters being manufactured, which weighed on rhodium demand. As a result, prices have been falling since mid-May and dropped to $11,250 on 16 September, the lowest in 2021.

Which is better rhodium or gold?

What is rhodium? First things first, rhodium is a rare and precious element that can be 10 to 25 times more expensive than gold. Rhodium is a member of the platinum group of metals and is silver-hued, highly reflective and does not tarnish or corrode. It is harder than gold and is highly durable.

Is rhodium a good long term investment?

It’s definitely an asset you’ll only want to buy if you can afford a decent amount of it. The asset isn’t ideal for short-term gains, despite its volatility. However, if you can hold it in the long-term, Rhodium should appeal to you. Rhodium has only recently become available in ETF or futures formats.

Will rhodium prices drop?

Rhodium prices have been soaring for a few years and reached almost $30,000 per troy ounce in 2021. However, the rhodium market seems to be close to balance at the moment and this is likely to lead to much lower prices by the end of 2021.