Metal fluctuations are very low short term, but its price in the middle and long has always gone up

In a moment of high inflation like the current.We have talked to Raquel Herrero, an operations analyst with metals in Coininvest, which tells us how investment in the sector is and the importance of sustainability in this ecosystem.

¿Qué relación guarda la inversión en metales preciosos con la sostenibilidad?

Precious metals, like any other raw material, are also actors within the great work of building a quality environmental future for our planet.Therefore, not only from the moment of its extraction you work so that the mines produce less polluting waste, but there is a great will and a great job is being done when it comes to enhancing their recycling.

Enough mines, for example, they are incorporating or have already incorporated the use of electrical energy in their processes with the intention of reducing their carbon footprint to the least possible.The great mints that manufacture the metal are also doing, abandoning the use of fossil fuels in their production processes.

On the other hand, the recycling of precious metals used in the most diverse technological devices is essential;First, because mineral reserves are not infinite, second, because it is still a luxury to discard the incredible volume of metal that is in, as an example, the millions of units of mobile phones and obsolete computers plates end in thetrash.

I give you a curious fact: for the manufacture of the nearly 5000 Olympic medals that were held for the Tokyo Olympics held this past summer, the precious metals extracted from about 80 tons of electronic devices were used in large part donated by theJapanese own on the occasion of the occasion.

And for fashion lovers, the Gucci house has established a series of protocols in order to reach 2025 using as many precycled precious metal metals for their metal and jewelry accessories.

This may be an anecdote, but the fact is that it can be recycled, it must be recycled and you have to take steps.Baby steps, now, allow us to run with energy later, but as soon as possible.

¿Las medidas ESG de la inversión puede suponer algún cambio en el mercado de los metales preciosos?

As I mentioned before, from the mines the use of electrical and renewable energy in the extraction and processed processes is being favor and incorporating.This is also important because the arrival of clean energy to these places makes many local communities access it, which would otherwise be unthinkable.Access to accessible clean energy can cause important development and its impact from food conservation and improve health care, to the appearance of a greater spectrum of business possibilities.

There we have a basic example of the first two factors;The environmental factor (e), and the social factor (s).The Government Factor (G) would be the control of transparency and the yield of income accounts of the entire production process.

The fact is that ESG measures have already been a change and there are numerous investment products, such as the so -called green gold (which produce many houses in various forms), which meet the conditions of production and traceability in all states of their production.It is known how and under what conditions the metal is extracted, how and under what conditions the coins or ingots are manufactured, how the benefits of the companies are declared and how.That is, we ensure not to follow the game in any way to companies that plunder and destroy the environment, which exploit human beings, which can help finance international terrorism or that evade taxes.

¿Afecta de alguna manera a su rentabilidad?

There are many positive elements that influence the price and future profitability of precious metals, including the adoption of new extraction and production technologies respectful of the environment, the publication of national or international legislation in this regard and commercial treaties on exchanges of themineral reserves, among others.

There are also many negative aspects that do it: international tensions, armed conflicts, natural disasters, economic recessions, high inflation rates, including global pandemics, as seen throughout 2020.Unfortunately the influence of these other factors has a greater impact on the variation in the price and profitability of precious metals, precisely because they are a refuge value.

The first group of measures, with all the production and management controls they imply, may take some price the final pieces that are made available to the investor, is estimated about 0.3%.In return, we obtain investment pieces produced by an economy as circular as possible.In the medium and long term, this price difference is absolutely despicable.

¿Supone ahora mismo el mercado del oro y la plata, por ejemplo, un refugio contra la inflación?

Precious metals have traditionally been a good refuge against inflation.The price of metal moves to the rhythm of inflation unlike "paper" money, which is devalued.

The ability of precious metals to maintain their value in adverse circumstances for the rest of the assets, is what makes them tremendously attractive when protecting capital and ensuring the purchasing capacity of those who have them.

Metal price fluctuations are, in the short term, very low, but their price in the medium and long term, so far, has always gone up.Nothing to think that the road begins to go now in the opposite direction and the fact that its use in technology is increasingly extensive can also be a track of the future that is coming.

Perspectivas para el mercado de los metales preciosos

The behavior of precious metals, fundamentally gold and silver, has historically been good.Linked to the idea of a certain social status of wealth and power, its value not only economic, but emotional and cultural has done, and makes, that very different groups of people buy in investing in precious metals for many different reasons.

It must be known that most precious metal that is extracted is not intended for investment bullion for banks and investors, it is destined for various types of industry;Technology (exponential), car, chemistry in its very diverse variants and, in a very large volume, to jewelry.It is this variety of demand that also influences the fact that precious metals are a highly valued investment asset for the future.

Purely economic processes, such as prolonged inflation (which has not yet been reached, but which is spoken quite a lot) and the increase in the public deficit by some countries, with the United States to the head, to relaunch thePost-Covid economy, many analysts think that the price of precious metals, with the gold and silver of leaders, will rise again.

Algún consejo para los inversores

There are very diverse types of investor, even within the market of precious metals, but in general the first would be that they were always aware that the purchase of physical, silver, silver or any of the platinum group metals (platinum,Paladio and Rodio fundamentally), is an investment in the medium or long term.

The second that that saying is applied that says that you do not have to put all the eggs in the same basket, that is, they do not invest all their capital in the same product.From our experience in Coininvest, the average of our Spanish clients usually diversify their portfolio between 70% in gold and 30% in silver, which is a good option.

You also have to be careful not to confuse emotional value, generally directed towards pieces of collectible profile, with the market value, since we would be conditioning the investment itself and its future liquidity.

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