As Costco sells platinum, experts explain how the precious metal differs from gold

The coin, produced by the Canadian Mint, and the bar, from the Swiss PAMP refinery, were each listed at a slight premium to the metal’s spot price, which hovered around $1,005 as of Friday.

In addition, Costco’s website says members are limited to a single transaction, with a maximum of five units per transaction.

However, it’s hard for any precious metal to compete with gold as a wealth-preservation asset, according to GoldCore CEO David Russel.

GoldCore’s business is primarily in gold and silver, but Russel told BI that platinum makes up a “very small percentage” of what the company sells.

“An investment in platinum is not a hedge against uncertainty or a hedge against inflation,” Russel said. “It is not a reserve asset on the Central Bank’s balance sheet.”

Russell also noted that the private market for platinum coins and bars is less robust than for gold and silver, which can make it challenging to trade when the time comes.

“If people want to speculate on the resurgence of the ICE [internal combustion engine] while they do their weekly shopping, buy platinum,” Russell said. “But be warned, it is not a safe-haven investment.”

One member who has bought and sold more than $100,000 worth of gold from Costco told BI he was glad to see the company expand its selection of precious metals, “but I only prefer gold.”