Core Viewpoint - The discussion focuses on the investment potential of platinum and palladium, highlighting their roles as alternatives to traditional precious metals like gold, particularly in the context of inflation and economic uncertainty [4][6][12]. Industry Overview - Platinum and palladium have been less prominent compared to gold and silver, but they are gaining attention due to their unique demand dynamics and potential as hedges against monetary risks [4][6]. - The demand for platinum is driven by both industrial and investment needs, with a significant portion of its use in various technologies, including hydrogen fuel cells [7][12]. Supply Dynamics - Platinum is approximately 30 times less abundant than gold, with most production concentrated in South Africa, primarily by Sibanye-Stillwater, which accounts for about 25% of global production [8][9]. - Recent production cuts by Sibanye-Stillwater due to low prices are expected to create a supply shortage, which could drive prices higher in the long term [20][21]. Investment Outlook - The PPLT ETF is highlighted as a strong investment choice, with expectations of increased demand for inflation hedges over the next decade [10][12]. - The price of platinum is anticipated to rise as it becomes a more recognized store of value, similar to gold, especially in times of economic volatility [15][16]. Market Trends - The price of platinum has seen a significant increase, with a reported 71% rise year-to-date, attributed to market realization of supply shortages and rising investment demand [19][20]. - The long-term outlook suggests that while industrial demand may stabilize, the growth in investment demand will be the primary driver for price increases [14][21]. Portfolio Allocation - It is suggested that investors consider a portfolio allocation of 5% to 15% in platinum, with the potential for higher positions due to its undervaluation compared to other metals [22].