Common Mistakes to Avoid When Investing in Gold, Silver and Platinum

Platinum ScrapRecycle and Refine GoldRecycle Precious Metals
Written By Barry Lenson

We want you to make money when you invest in precious metals.

Why? One reason is that if we can help you make money by using our testing and recycling processes, we will make more money too. But that isn’t the most important reason. The most important reason we want you to do well and make money is that we want to support you. Also, the more successful you become as a precious metal investor, the better it is for our entire business sector. That’s another way of saying that when more people make more money, everyone in the universe of precious metal investing benefits.

That’s one side of the coin. The other side – more negative – is that we all benefit when we all avoid common mistakes that many precious metal investors fall for.

What are those mistakes? Here are three that are on the top of our list.

Mistake One: Falling for False Claims Made in Deceptive Advertising

It is amazing how often people are bombarded by deceptive advertising claims for precious metal investments, in many cases, out-and-out lies. Here is one common example:

False or deceptive claims for the value of “collectible” coins. You have seen these deceptive ads, and so have we. In many cases, the products that are offered for sale are not genuine currency, they are make-believe coins minted by private companies. They might have a thin silver coating or gold-toned highlights. And the companies that pitch them claim that they will increase in value. They won’t! So don’t fall for these items. If you do, years from now you will only have some nice shiny coins that are worth less than you paid for them.

Mistake Two: Failing to Understand What You Are Investing In

Investments known as Exchange Traded Funds, or ETFs, are one example. They offer investors a chance to cooperatively invest in a quantity of gold, silver or other valuable commodities. We are not saying that all ETFs are promoted by dishonest companies, only that they are a form of investment that you should investigate thoroughly before deciding that they offer a way to invest in precious metals with minimal risk.

You have to ask questions. What precious metals will you be investing in, for example? Where are those metals held? What kind of return on your investment are you projected to receive, or guaranteed to make on your investment? If you decide to sell your shares at some point in the future, are you allowed to do so, and what fees will be charged?

Again, we are not saying you should never consider this kind of investment, only that it is unwise to jump in and buy-in on the basis of a call or other solicitation from a salesperson.

Informed buyers stand the best chance of making money in any form of investment. Take the time to make sure you are one of them.

Mistake Three: Overlooking the Opportunities of Investing in Precious Metal Scrap

We know that no one form of investment is right for everyone.

You could, for example, invest in bullion and coins. The advantage is that because their value is based on trading prices, you have a way to track the rough value of what you own. Also, many of these investments have liquidity going for them, meaning that when you want to sell some of your investments you generally can (even though you might have to entertain offers that are lower than you thought you would get for what you are trying to sell). So is this kind of investment the best for you? Possibly, if you realistically assess the possible profits and appreciation before you jump in and invest.

You could also invest in gold scrap, silver scrap, and platinum scrap. We believe strongly in this kind of investment for the simple reason that there is a very real potential to make large profits. You can reasonably expect to buy a quantity, for example, of industrial scrap, have Specialty Metals reclaim the precious metals it contains, and double or triple your investment. (That kind of return is not possible if you invest in, say, coins or bullion.)

So What Kind of Gold, Silver or Platinum Scrap Have You Invested In?

We urge you to call Specialty Metals Smelters and Refiners at 800-426-2344. Tell us what kinds of precious metals and precious metal scrap you have invested in and let's discuss your best strategy for maximizing your profits.

Barry Lenson
Previous

Where to Find Platinum in Scrapped Airliners and Military Planes
Next

Where to Find Recoverable Gold in Medical Devices