Platinum and Palladium at Goldco
Goldco states that, in addition to gold and silver, it offers platinum and palladium. Both metals can be held in a self-directed IRA if they meet the IRS minimum fineness of .9995, or bought directly. They behave quite differently from gold: supply is concentrated in a few countries, demand leans heavily on industry, and prices have historically swung sharply.
What Goldco Offers
Goldco's website states that it offers platinum and palladium alongside its gold and silver lines. Product availability for these metals tends to be narrower than for gold and silver across the industry, so ask Goldco which specific coins or bars it currently offers, whether each is IRA eligible, and the current price per ounce for each.
Commonly traded sovereign products in these metals include coins from the U.S. Mint, the Royal Canadian Mint, and other national mints, plus bars from accredited refiners. Our platinum coins and bars and palladium coins and bars guides describe what is generally available.
The .9995 Fineness Rule
Under 26 U.S.C. 408(m), platinum and palladium bullion held in an IRA generally must be at least .9995 fine. That is a stricter standard than gold's .995. The American Eagle exception covers platinum American Eagle coins as well. In practice, most modern bullion products in these metals are struck or poured to .9995, but confirm for each item, and get IRA eligibility in writing. More detail is in IRS purity standards.
Why Supply Is So Concentrated
The U.S. Geological Survey's platinum-group metals data shows that world mine production is dominated by a small number of countries. South Africa is the largest producer of platinum, and Russia and South Africa together account for most palladium output. The United States and Canada produce smaller amounts, and recycling of used catalytic converters is also a meaningful source.
Concentrated supply means that events in a few places, such as mining disruptions, power shortages, labor disputes, or trade restrictions, can move prices quickly. See platinum supply and demand and palladium supply and demand.
Demand Is Mostly Industrial
According to USGS, the largest use for both metals is in automotive catalytic converters, which reduce vehicle emissions. Platinum is also used in jewelry, chemical and petroleum-refining catalysts, glass manufacturing, and medical devices; palladium is used in electronics and dentistry as well. Demand therefore depends on vehicle production, emissions rules, and the shift between engine types and fuel sources.
Volatility
Because supply is concentrated and demand is tied to industry, platinum and palladium prices have historically been more volatile than gold's. Each has, at different times, traded well above or well below the gold price per ounce. Markets for these metals are also smaller, which can mean wider bid/ask spreads on physical products. CME Group publishes futures contract information for both metals if you want to follow price data.
Where These Metals May Fit
Some people add a small amount of platinum or palladium to a precious metals holding to diversify across metals with different demand drivers. Others avoid them because of the volatility and narrower product range. There is no standard allocation. Points to weigh:
- Price behavior that differs from gold and silver, which may add diversification but also adds risk.
- Fewer product choices and potentially wider spreads.
- Industrial demand that can shift with technology and regulation.
- The same recurring custodian and storage costs as other metals if held in an IRA.
A licensed financial professional can help you judge whether any allocation suits you. Our precious metals for diversification page offers general context.
Questions to Ask Before Buying
- Which platinum and palladium products do you currently offer, and from which mints or refiners?
- Is each product at least .9995 fine, and will you confirm IRA eligibility in writing?
- What is the price per ounce, and what is the premium over the current spot price?
- What would the bid price be today if I sold the same product back?
- Does the depository store these metals the same way as gold and silver?
Asking the same questions of other companies lets you compare like with like.
Costs
For platinum and palladium held in an IRA, Goldco's published fee statement applies:
Gold IRA Fees
The required minimum purchase at Goldco to start a gold IRA is $25,000. Goldco’s preferred Custodian charges a flat annual account service fee which includes a one-time IRA account set-up fee of $50. as well as a $30 wire fee. Annual maintenance is $100, and storage is $150 for segregated storage or $100 for non-segregated storage.
Fees for gold storage and custodianship can vary depending on the company you select to handle these services (required by the IRS, as all IRA assets must be managed by a custodian). Depending on the Custodian, storage fees can range from $10 to $60 per month, or as a percentage of assets, from 0.35% to 1% annually.
Ask specifically about premiums on these metals, since they can differ from gold and silver.
Frequently Asked Questions
Can I hold platinum and palladium with gold in the same account?
Generally yes, in one self-directed IRA, provided each product is eligible. Confirm with Goldco and the custodian.
Are platinum and palladium rarer than gold?
Annual mine output of each is much smaller than gold's, according to USGS data. Rarity alone does not determine price, which depends on industrial demand.
Does Goldco's buyback cover platinum and palladium?
Goldco advertises a buyback for IRA-approved coins. Ask whether it covers the specific platinum or palladium products you are considering. See the buyback program and our Goldco review.