Diversification minimizes risk. Although the three metals are classified under “precious metals,” they don’t act interchangeably under market changes. Gold can climb under inflation, silver could appreciate under the demand from industries, and platinum tends to move independently under supply shocks and auto trends.
A diversified bullion portfolio diversifies your risk across various categories of risk and opportunity.
Step 1: Begin with a Gold Foundation
Most bullion portfolios are built on the fundamentals of gold. Stable over the long term, gold keeps its value and is frequently employed to hedge against inflation, currency debasement, and geopolitical risk.
Why Gold?
- Substantial historical experience as a global value store
- Highly liquid and widely known
- Performs better in economic downturns
- Ideal Allocation
Most investors prefer to invest 40–60% of their bullion holdings in gold if they are concerned with preserving wealth over the longer term.
Step 2: Add Silver for Growth and Versatility
Silver adds affordability and greater potential for profit. It’s a more volatile metal than gold, which results in bigger price fluctuations, but also greater shorter-term potential for growth.
Why Silver?
- Lower entry cost — best suited to new investors
- Robust industrial demand (electronics, EVs, solar panels)
- Frequently beats gold in bull markets
- Ideal Allocation
Invest 30–40% of your bullion holdings in silver. Options such as 1 oz Silver Maple Leafs, 10 oz Silver Bars, or even Silver Monster Boxes are very diverse and affordable.
Step 3: Add Platinum to Achieve Strategic Diversification
Platinum is frequently underappreciated, but it has excellent diversification potential through its rarity and unusual demand in industry — predominantly in the automotive market and green energy technology.
Why platinum?
- Less common than silver and gold
- Tends to trade at a discount to gold, with potential upside
- Industrial applications underpin long-term demand
- Ideal Allocation: Ideal
A smaller but strategic percentage — 10–20% — of platinum can give a portfolio a boost. 1 oz Platinum Bars or RCM Platinum Coins are excellent ways to make a start.
Tips For Keeping a Balanced Portfolio
Rebalance Periodically: Prices fluctuate. Regular rebalancing locks in earnings and keeps you on track to achieve your goals.
Buy from reputable sellers like AU Bullion to guarantee the authenticity of the products and achieve competitive pricing.
Secure Your Holdings: Either at home or in a third-party vault, security is paramount. Contact AU Bullion with regards to secure storage.
Watch the Market: Monitor global developments, inflation, and trends in industry that impact metal prices.
Why Buy from AU Bullion?
At AU Bullion, we carry a vast assortment of superior quality gold, silver, and platinum bullion items, including Royal Canadian Mint and Asahi Refining coins and bars, PAMP Suisse products, and a multitude of others.
Here’s how we are different:
- Competitive rates with real-time spot quotes
- Fully authenticated bullion with traceable origins
- Secure delivery of products across North America
- Convenience of in-store pickups
Whether you’re new to bullion or simply want to rebalance an existing portfolio, our experts are here to assist you in making the best decisions. Begin to construct your diversified bullion portfolio today. Visit AU Bullion or stop by a location near you to discover the best buys on gold, silver, and platinum.