Rhodium: The world's most precious metal |
Extremely rare metal in a world of dwindling finite resources |
Investing in Rhodium | History of Rhodium
Rhodium: The world's most precious metal
While gold and silver have attracted the attention of some investors of late, there is a metal that is far, far rarer and has fundamentals that merit investment consideration. Some consider it the ultimate symbol of wealth - above and beyond gold, silver or platinum - because of its price and very significant rarity.
The metal is rhodium. It was discovered in addition to palladium by British chemist and physicist William Wollaston in 1803. Rhodium belongs to the platinum group metals along with platinum and palladium. Not only is it a key component in the car industry, but some of rhodium's other uses are in glass making (as a finish for mirrors and jewelry) and in electrical connections (as in aircraft turbine engines)."
Extremely rare metal in a world of dwindling finite resources:
"The world's finite natural resources, including its precious metals, are being used up at an unprecedented rate. And in the same way that the phenomenon of peak oil has been recognized in recent years, so too will the reality of peak metals be realized in the coming years. This should lead to the price of the earth's precious finite metals rising to higher prices - possibly much higher."
Investing in Rhodium
"Neither Wall Street nor the investment public is particularly aware of rhodium, and only a tiny handful of investors and institutions internationally have it on their radar. Speculators have not bought rhodium - and indeed most investors and speculators have not even heard of rhodium. Investors who own rhodium stored in international vaults are not exposed to the current elevated systemic and systematic risk. Unlike companies, banks and governments, rhodium cannot become insolvent. Rhodium is finite and the rarest of precious metals. In a finite planet with a rapidly growing population and money printing and currency debasement on a scale not seen in modern times, rhodium is likely to at least preserve value in the coming years."
"Rhodium is an attractive investment for a portfolio diversification. These days everyone talk about Gold and Silver and they are as popular as have never been. But what about rhodium? Aside from being a true rare metal, it has not historically been easily owned by individuals. Perhaps for that reason, individual investors have not been particularly active in Rhodium. That has changed because Deutsche Bank has created USD and EUR Rhodium ETC that holds physical rhodium."
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History of Rhodium:
"Rhodium (Greek rhodon (ῥόδον) meaning "rose") was discovered in 1803 by William Hyde Wollaston, just after his discovery of palladium. He used crude platinum ore apparently obtained from South America.
After the discovery this rare element had only inferior applications. The first major application for use of a corrosion resistant coating. The introduction of the three way catalytic converter by Volvo in 1976 increased the demand for rhodium. The previous catalytic converters used platinum or palladium while the three way catalytic converter used rhodium to reduce the amount of NOx in the exhaust."
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