| A precious metal is defined as a rare metallic chemical element of high, durable
economic value. To be considered as ‘precious’, metals have to have higher melting points
than most metals, high lustre and low reactive levels compared to other elements. A number of metals are
considered precious, but gold, silver and platinum tend to attract most investor attention. The most
valuable metals are relatively scarce, highly corrosion resistant metals found in periods 5 and 6 (groups
VIII and Ib) of the periodic table. Examples include ruthenium, rhodium, palladium, silver, iridium, platinum,
and gold.
Gold is the precious metal of choice for investors. Much of this has to do with its
history and the fact that it is, or has been, the basis for numerous currencies. Gold is also used as
the standard in the International Monetary Fund, which speaks to its value as a commodity. Most trading
in gold is actually done in the form of coins or certified bars, know as bullion. Gold can be volatile
in terms of price fluctuation since it is the most actively traded precious metal in comparison with others.
Recent uncertainty in world financial markets has led many investors to seek
the relative security of gold with prices reflecting this.
The actual use of gold as a resource primarily takes place in the jewellery, dentistry and electronics
industries. It is measured by “Troy Weight” and by “Grams”. The term Carat is
used to designate the percentage of actual gold when the metal is alloyed with other metals. The fact
that gold is very soft requires this to be the case in almost any situation.
As with any investment, Money Jungle recommends that you seek independent
expert advice before investing in gold but if you decide to do so you can invest on-line
through
BullionVault.com
Gold price chart by BullionVault.com - Click for live prices
Why Gold, Why Now?
Silver is second in popularity to gold and, for various reasons, actually has more
practical uses from an engineering standpoint. Most of this is due to silver having the highest electrical
and thermal conductivity when compared to all other metals.
The most popular use for silver is in tableware, jewellery, coins and photography equipment.
Silver is measured in a similar manner to gold and is often traded in the form of “ingots”
or coins.
Platinum is a relative newcomer in some ways as it was not discovered by Europeans
until the discovery of the New World. However, before that time it was valued by many of the indigenous
peoples of the Americas. Although platinum is more precious than gold, it is still not as popular. It
has more industrial uses than the other precious metals due to the catalytic properties natural to the
metal as well as the fact that it is immune to corrosion.
Platinum is used for jewellery, manufacturing, electrical contacts, dentistry and automobile emission
control devices (namely catalytic converters and their offspring). Roughly, platinum is typically valued
at twice the value of gold and is traded less actively.
Platinum trades in coins and bullion bars in a similar manner to gold and silver.
To learn all about precious metals click here: http://en.wikipedia.org/wiki/Precious_metal
http://www.kitco.com/market/
Gem Stones
Gem stones are minerals or rocks that can be used as jewels when polished or cut. The scarcest and
most beautiful gem stones have a very high economic value as they are in high demand and low supply. Diamonds,
emeralds, rubies, and sapphires are amongst the most sought after gemstones.
To learn all about precious gem stones click here:
http://en.wikipedia.org/wiki/Precious_stone
To learn about individual precious stones click on the relevant stone:
Diamond: http://en.wikipedia.org/wiki/Diamond
Ruby: http://en.wikipedia.org/wiki/Ruby
Sapphire: http://en.wikipedia.org/wiki/Sapphire
Emerald: http://en.wikipedia.org/wiki/Emerald
Amethyst: http://en.wikipedia.org/wiki/Amethyst
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