Savvy investors and collectors know the current market’s high-profile gold and silver bars. In comparison to gold and silver, palladium is a lesser-known metal but one that is growing in value and popularity among precious metal collectors.
The metal’s value has tripled in recent years, increasing the demand for palladium assets. Even though the price of palladium has gone up, it still costs less than gold and silver, which makes it easier for new investors to get started.
Here are some reputable palladium dealers:
Money Metals Exchange
Investopedia recently named Money Metals Exchange the best overall precious metals dealer on the Internet. The company also has an A+ rating from the Better Business Bureau (BBB).
Money Metals Exchange was founded in 2010 and offers a generous selection of palladium products. These include American Eagle coins, Canadian Maple Leaf coins, and bars ranging between one gram and 10 ounces.
The company offers free shipping on orders over $500. There is a $6.97 shipping fee for orders up to $149 and a $7.97 charge for orders between $150 and $499.
Money Metals Exchange also offers a buyback program and a three-day return policy. All precious metal assets are stored in depositories in Delaware and Massachusetts.
Noble Gold is a California-based precious metals dealer founded in 2017. The company is accredited by the Better Business Bureau (BBB) and Consumer Affairs. Noble Gold offers one-ounce Canadian palladium Maple Leaf coins minted in 2005, 2006, 2007, 2009, and 2015. Additionally, investors can purchase one-ounce Credit Suisse palladium bars that contain one troy ounce of .9995 fine palladium.
Moreover, the company offers pre-selected survival packs that contain a blend of precious metals. These packs range between $5,000 and $500,000 in value.
The minimum investment for precious metals is $2,000, and Noble Gold charges an annual $80 administration fee. Additionally, investors will be charged an annual $150 storage fee if they choose to store their metals at a partnered depository. However, insurance is included in the storage cost.
Oxford Gold Group
Oxford Gold Group was established in 2017 in Los Angeles, California. The company offers palladium coins and bars from U.S., Australian, Canadian, and Austrian mints.
Palladium investors can store their assets at Oxford Gold Group’s partnered depositories. Individuals have two options: the Delaware Depository or Brink’s Global Services. Both depositories are insured by Lloyds of London.
For accounts valued at less than $100,000, Oxford Gold Group charges an annual fee of $175. Accounts over $100,000 have a $225 fee. However, storage costs are included in the yearly price.
William Hyde Wollaston discovered the precious metal in 1803. The asteroid Pallas inspired the metal’s moniker. Although palladium is part of the platinum group of precious metals, its density and melting point are lower than other platinum metals.
What is palladium? This rare metal is only found in a few places worldwide. Palladium is primarily mined in South Africa, but significant deposits are also in the U.S., Canada, and Russia. In recent years, palladium has been sourced from automotive catalytic converter recycling operations.
Catalytic converters in automobiles are used to reduce the amount of harmful gasses emitted from the vehicle’s exhaust. The production of catalytic converters consumes more than half of the world’s palladium supply. Electronics, dental equipment, and fuel cells are just a few of the products also composed of palladium.
Palladium is quietly becoming one of the most popular precious metals in the 21st century as prices rise and the variety of products grows. Palladium bullion coins are one of the fastest-growing markets for the metal. Demand for palladium has increased in recent years, resulting in new coins and the revival of previously canceled programs.
- Russian coins
The Russian Ballerina was one of the first modern palladium coin collections. Each date mark features a new ballerina image at work, capturing Russia’s national fascination with the Moscow Ballet’s strength, beauty, and determination. From 1989 to 1995, the coins featured the Soviet Union’s hammer-and-sickle design on the reverse. However, coins produced after 1991 retained the Soviet-inspired design until their conclusion. The Russian Palladium Ballerina is available in one-ounce, one-half-ounce, one-quarter-ounce, and one-tenth-ounce weights.
- American Eagle
The U.S. Mint released the palladium American Eagle in 2017 after a seven-year wait and precisely two decades after the last American Eagle. The Act of 2010 permitted the production of an authorized palladium bullion coin within the existing American Eagle Series. The gold and silver Eagles were introduced in 1986, with the platinum Eagle following in 1997. The 111th U.S. Congress passed the Palladium Bullion Coin Act, featuring two historic design elements on the obverse and reverse.
- Canadian Maple Leaf
Palladium Maple Leaf coins were the first significant palladium bullion coins. The Royal Canadian Mint issued it from 2005 to 2007 and again in 2009. The Royal Canadian Mint reintroduced the Canadian Palladium Maple Leaf coins in 2015.
Canadian Palladium Maple Leaf coins are only available in one troy ounce. All Canadian Maple Leaf coins have a face value of $50 (CAD). The effigy of Queen Elizabeth II is depicted on the front of the palladium Maple Leaf, and the reverse features Walter Ott’s 1979 gold Maple Leaf design.
The most popular palladium bars on the market today are from Credit Suisse and PAMP Suisse. But these aren’t the only refineries producing palladium bars. Others include Johnson Matthey, Engelhard, and Valcambi Suisse.
- PAMP Suisse is a leading producer of precious metal bars, including the famous Fortuna design. The Fortuna design features the goddess with a blindfold over her eyes and a cornucopia on her head. Her clenched hands capture the coins flowing from the cornucopia at the bar’s bottom.
- Credit Suisse and Valcambi Suisse create palladium bars with a corporate logo on one side and identifying features on the other. Each company produces popular one-ounce and 10-ounce sizes.
- Johnson Matthey is a popular producer of palladium bars, with its Lewis & Clark design being the most prominent. Meriwether Lewis and William Clark are shown surveying the vast American landscape as they travel through the western wilderness.
- Palladium coin sizes
Typically, most palladium coins are one-ounce.
- Palladium bars sizes
Palladium bullion bars range in size from one gram to 10 ounces. However, the most commonly traded and purchased by investors is one ounce or less.
Palladium bullion bars are a cost-effective way to get started in the exciting world of precious metal investing. Precious metals are often inversely correlated to the stock market. This means that when the prices of stocks drop, precious metals may remain relatively stable or increase in value. Additionally, the value of precious metals is based on their intrinsic worth. Lastly, the limited supply of precious metals makes them a popular investment option.
Palladium is one of the rarer precious metals. As a result, its price has the potential to increase as its supply diminishes. Moreover, the price of precious metals has steadily increased since 2001, including the value of palladium.
Palladium is rarer than gold and silver, which affects how quickly the price of the precious metal rises. However, before jumping headfirst into palladium investing, consider these factors:
Palladium is rarer than some other precious metals. As a result, this is reflected in the price.
- Short-term Gains
Due to the rarity and demand, the price of palladium may rise quickly. As such, investors could liquidate quicker for short-term gains.
- Many Uses
Palladium is popular and found in many goods and industries, including jewelry, medicine, and automobiles.
Due to the scarcity, the price is often volatile. Demand is rarely met due to the overwhelming number of mining requests.
The volatility may not be suitable for all investors. Some individuals don't want risky investments.
- Less Dense
It is less dense than platinum, requiring more to achieve a similar value. Also, due to its rarity, industries may look for substitutes to replace palladium.
Palladium Coins and Bars FAQ
Which Palladium Coins Should I Purchase?
While all coins have value, the most popular bullion coins offer the best investment opportunities. For instance, Palladium Maple Leaf coins are composed of .9995 pure palladium. Therefore, these coins may be a solid choice for investors looking to diversify their investment portfolios through the addition of palladium.
Is Palladium a Metal?
Palladium is a rare silvery-white metal. It resembles silver and platinum in appearance. However, palladium is the lightest with the lowest melting point.
Is Palladium a Good Investment?
Palladium is a rare element used predominantly in the automotive, electrical, chemical, jewelry, and dental industries. However, palladium also has investment potential due to its limited supply. As the supply of palladium diminishes, there is potential that the price could significantly rise.
Is Palladium Rarer Than Gold?
Yes and no. Palladium is rare, with a crustal concentration of 0.015 parts per million (ppm). In comparison, silver is 0.075 ppm, platinum is 0.005 ppm, and gold is 0.004 ppm.
Humans have been prospecting gold for thousands of years, while palladium was only discovered scientifically a few centuries ago. Above-ground gold bullion supplies dwarf today’s refined physical palladium supply. Palladium was first discovered in the early 19th century, and only 6,000 tons have been mined.
Despite increased investment capital flows in palladium, virtually all current palladium demand is for industrial uses.
What Are Some Differences Between Palladium Bars & Palladium Coins?
Palladium coins are more appealing to collectors, with unique designs like the Maple Leaf coins. Because of their smaller size and improved authenticity features, investment-grade palladium coins trade at a premium compared to palladium bullion.
How Much Palladium Is Required To Diversify a Portfolio?
To diversify a portfolio, typically, a minimum of 10% should be in precious metals like palladium. However, investors often buy more when economic or geopolitical uncertainty arises. Your personal preferences will always determine your preferred asset mix.
What Are The Advantages of Investing In Palladium Bullion Coins Compared To Bars?
Palladium coins have uniform weight, purity, and size standards, making it easy to verify their authenticity. Second, investment-grade palladium coins are legal tender of the government mint that issues them and thus enjoy preferential tariff-free trading status globally. Finally, coins like the beautiful Maple Leaf are more valuable due to their detailed mint engravings.