Historical Performance of Metals Vs Stocks

A huge number of people when asked are in fact familiar with the term stock investment, but the surprisingly low number of people actually know about the precious metal investment. That is just how it is, mostly because there has been a lot more success in the stock investment area. There is the main difference between these two types of investment options and that is a stockholder owns only a portion of a company that has been issued as a stock and precious metals such as gold, silver or platinum are owned as a physical product.

Stockholders are making money only when the company which they own stock in has a significant increase in their profits. Which essentially means that the company has improved and they are having much more success in selling their product to customers, therefore the price of their stock is rising. However, investors in precious metals are making money when the demand for that specific metal increases.

History of Stock Market Performance

When you look at the history of the stock market and the history of precious metal investment, you can clearly see that the stock market has outperformed the precious metals. However, if you take a look at only the last 12 years, you can see that there were some significant changes and improvements in the precious metal investment. The numbers are only going up, where if you look at the stock market, you don’t see a huge difference in the past 10 years. We think that the precious metal investment will outperform the stock market in just a few years. This brings up a lot of questions, but all of them cannot be answered.

In the past, a very small amount of people would invest in precious metals, everyone was hyped about the stock market, which is to this day, not a bad investment option, we are just simply saying that you can see huge changes in the precious metal history in the last 10 years than in the stock market.

What Exactly Happened?

metal stocksGovernments have boosted the prices of precious metals when they have injected a huge amount of money into the economy. Simply like that, the price of these precious metals has jumped significantly and nobody was expecting it to be this way, it was quite a shock to everyone. Therefore, knowing all this, it is safe to say that if you are looking to invest your money somewhere safe, it is much smarter to invest in precious metals that it is to invest in stock market. Ten years ago, this wouldn’t be the situation, without any questions, we would have recommended investing into the stock market, but times have changed and so did the investment market.