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Metals Trade

How to trade precious metals

Our clients can trade CFDs or place bets on gold, silver, platinum and copper.

Precious metals trading is popular because they are considered to be inflation-proof and not subject to the same forces as the forex markets, which means they can act as a haven for funds at times.

Why trade gold?

Diversification

Experienced traders reduce risks by diversifying their portfolios. Trading commodities such as gold is considered a great way to do this because gold prices tend to correlate negatively with stock markets.

Inflation protection

Although currencies lose value over time due to inflation, gold is immune to inflation. Even during the financial crisis that hit global markets in 2008 and later, gold prices were largely unaffected.

A store of value

About 95% of the world's gold is stored in jewelry or bullion vaults, and supply is growing at a very slow pace. The laws of supply and demand mean that its value shows limited volatility.

Why trade silver?

Inflation Hedging

Like other commodities and precious metals, silver is not subject to the same economic and market forces as other assets - where currencies can lose value due to inflation, the value of silver is determined by other forces.

Demand

Another reason for the popularity of silver is that about half of the demand for silver is driven by the needs of the industry, in particular the technology sector, which keeps prices rising even when investment demand is low.

Safety net

Like other precious metals, silver is often viewed as a haven in times of financial distress, as it is not affected by the same forces as conventional assets.

Why trade copper?

High liquidity

KCopper is commonly traded in global commodity markets and its price dynamics is often used as a barometer for the global economy.

Constant demand

Copper is widely used in the manufacture of many everyday items, such as electrical wiring, microwave ovens, and home heating systems. It follows that any increase in copper demand indicates activity in the economy as a whole.

Value

Copper is naturally available in greater quantities than gold, silver and platinum, so it is usually significantly cheaper. However, massive industrialization in developing countries in recent decades has steadily pushed copper production to grow.

Why Trade Platinum?

Diversification

Experienced traders reduce risks by diversifying their portfolios. Trading precious metals like platinum is a smart way to make sure your portfolio is exposed to multiple sources of risk.

Inflation Hedging

Commodities are not affected by the same factors as currencies, so they can often contain value while the value of a currency falls.

Volatility

Platinum is particularly volatile and smart traders can take advantage of this.