Platinum to Gold Ratio for Last 5 Years
|5 Year High||1.2853|
|5 Year Low||0.5493|
|5 Year Change||-0.3984 (-39.06%)|
Platinum : Gold 5 Year Ratio
Our regularly updated ratio charts allow you to determine which of the metals is a stronger investment by tracking and comparing the historical and current ratios. The platinum : gold ratio tells us relationship between the platinum price and the gold price. In simple terms this means how many ounces of gold it would take to buy an ounce of platinum. It is a simple ratio to understand; when it is above 1, gold is cheaper than platinum.
Using the Ratio
The ratio is a useful tool to refer to when trying to assess choose between purchasing one metal or the other at a given moment in time. Although it is always best to diversify your portfolio by investing in different metals, you can use the ratio to determine whether it may be a better time to buy platinum or gold at the current moment in time.
Both are incredibly rare metals however, of the two, platinum is by far the rarest. It also has more industrial usage than gold and has therefore usually been more expensive than gold, although this has not always been the case in the last five years. Platinum seems seriously undervalued at the moment, and is cheaper than gold even when VAT is taken into account.
Periods in which gold has been more expensive than platinum are rare and tend to be short lived. An investor may therefore view these moments as ideal opportunities to invest in platinum.