Playing the Platinum Downswing

I've committed to put a portion of my new Precious Metals purchases into Platinum this year instead of additional Gold at this point...mainly because the Platinum - Gold ratio has just hit a 50 year low. I recently added this bar, relatively close to spot to my stack. I'm hoping to pin down a few more just like it before the end of the year.

Plat Front.jpg

Plat Rear.png

All of this money printing is really starting to distort true capital markets and there are opportunities for longer term investors everywhere. Patience (not always my strong suit) is key but as I get older, I'd like to think I'm getting better at it. In the past 50 years, we've been as high as 2.75 and as low as .67!!! where we are today.

50 year lows in the Platinum - Gold ratio !!!

As a longer term investor, we could still go lower, but I don't think the market will maintain a ratio below 1.0 for more than a few years.

mickey_20170207_4.png

Distribution of Pt:Au Ratios

Ratio -- % of Months

<0.85 -- 4.7 %

.85-1.0 -- 15.0 %

1.0-1.25 -- 34.7 %

1.25-1.5 -- 19.3 %

1.5-2.0 -- 15.4 %

2.0-2.5 -- 8.9 %

Over 2.5 -- 2.0 %

I still love gold as an investment right now...but if you already have a starter stack and are looking to gain 2+ ounces for the price of one down the road, this might not be a bad option. At these levels, the ratio just has to go back to its historical average of 1.5 to double your ounces and with all of the geopolitical and monetary risks out there, I think thats a given in the not too distant future.

I am Lord @matthewwarn and I have Stackitis...but there are worse problems to have in life, like an endless stream of debt.

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That’s a great pick up Pamp bar close to spot is a hell of a deal. Without any warning it will implode, but I think we still have atleast a year before it collapses.

I hope you are right...I'm not really excited about living in a world when the dollar implodes...although we will likely be better off in the long run, its going to suck bad.

Totally with ya brother! Abd i didn’t know the exact timeline so thx for charts and figures. Now is a great time to buy 1/2 price gold given its already discounted stickerprice.
😎👍👍

Hell yeah!

Sales Everywhere

Nice! Upvote deserved.

Its very good infotmation, thanks for sharing it

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