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- Valuable Lessons from Palladium's Prosperous Past
Valuable Lessons from Palladium's Prosperous Past
And how you could've turned $2,000 into $22,500 over a 3-year period...
In this edition of the Bullfinder AI newsletter, we take a closer look at the rise of Palladium between 2017 & 2020, and how you could have benefitted from exposure via the physical commodity or an associated Palladium ETF such as ticker PALL.
Most Recent Bullfinder AI Momentum Re-Ratings:
- Early 2017 (Bullish)
- Late 2022 (Bearish)
What exactly is Palladium, and why did price move?
30 times rarer than gold and 12.6% harder than platinum, Palladium is a rare metal used across a wide variety of industries and within many different products.
Palladium can be found within vehicles, fuel cells, dental fillings, computer and other electrical components as well as jewelry. The largest amounts of Palladium are used within catalytic converters, purposed to speed up chemical reactions.
Since demand/future expectation of need for catalytic converters within standard and electric automobiles rose significantly between 2017 and 2020…so too did the price of Palladium.
Palladium’s Rise to Fame…
As you can see from the price chart above, Palladium’s price rose significantly between January of 2017 and February of 2020, with this particular Palladium ETF (PALL) increasing from ~$68 to a peak of $273.21.
This move represented an increase of approximately 302% over a three-year period.
Not too shabby…But not quite $2,000 to $22,500.
So how could this feat have been achieved, without leverage?
Introducing the Cumulative Investment Approach…
Let’s review Greg’s experience with Palladium over this period.
In addition to robust personal savings, Greg had $40,000 in his investment account, and wanted to allocate a small portion of that, 5% ($2,000) toward a Palladium ETF.
Greg received a notification from Bullfinder AI tech rating Palladium’s momentum as Bullish in Jan of 2017, did his own research, consulted with his licensed financial advisor, and decided to make an initial investment of $2,000 in PALL at $67.90.
In addition to his initial investment, he decided to contribute a small portion of his regular monthly savings (an average of $150 per month) toward his Palladium ETF investment.
Greg’s initial investment of $2,000 in Jan of 2017, coupled with additional contributions equating to $150 per month, grew to a total of $22,524 over the 3 years and 1 month that followed, as per table below.
This is a great example of how starting with small amounts, and continuing to contribute small amounts regularly, can start to build and accumulate into meaningful wealth.
If you too have a success story like Greg, we’d love to hear from you.
The 6-Figure Equation
I am often asked, but how much would I have had to start with, and how much would I have had to regularly contribute in this example to have reached $100k at the peak?
Introducing ‘The 6-Figure Equation’.
In the case of Palladium:
An initial investment of $5,000 in Jan 2017
Additional contributions of $850 per month
…would have resulted in an ending balance of $102,154 in Feb of 2020.
Newfound Awareness
It is possible for you to improve your financial position, whether that’s from rock bottom or high on a mountain top. Opportunities are always available… If you know where to look.
I hope this information helps you to become more aware of:
The importance of managing outflows, so to better prioritize saving & investing
The need to monitor different areas of the market for opportunities
The necessity to understand current momentum of instruments of interest
Fortunately, we are here to help you with all of these.
If you’re interested in learning more and furthering your education in these areas, reply to any Bullfinder AI email and make note of your interest in the Bullfinder Academy.
We’d be happy to pass on some free course content covering these topics in more depth.
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Our goal here at Bullfinder AI is to provide you with another perspective on how to better allocate the speculative portion of your portfolio, and to provide some renewed hope in your journey to accumulating greater wealth through higher quality interactions with breakout areas of world-wide financial markets.
We know monitoring the vast financial markets can be overwhelming, and determining current momentum can seem an impossible feat…
That’s why we built Bullfinder AI, to take the hassle out of finding and monitoring investment opportunities for you - So you have more time to invest in your career, health and the people around you…All whilst attaining superior returns.
Thank you for reading! We look forward to sharing future updates with you…