The combination of an improving global automobile industry and supply shortages is painting an optimistic picture for palladium and platinum as we move ahead, and funds like PALL and PPLT may prove attractive in the coming weeks and months. However, it is important to note that these two components of the precious metals industry tends to behave a volatile manner.
Therefore, while it may be tempting to dive headfirst into either of these funds, both are best approached conservatively. By using PALL or PPLT in combination with a gold-based product like iShares Gold Trust (IAU), investors can construct a well-diversified precious metal portfolio.
Written by Don Dion in Williamstown, Mass.
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts