How to Invest in Palladium

1. Ways to invest in palladium: ETFs

Palladium-backed exchange-traded funds (ETFs) track the precious metal like an index fund, but trade like stocks on an exchange. Examples of palladium ETFs include the Sprott Physical Platinum and Palladium Trust (ARCA:SPPP) and the Aberdeen Standard Physical Palladium Shares (ARCA:PALL).

The Sprott Physical Platinum and Palladium Trust ETF was created to invest and hold substantially all of its assets in physical palladium and platinum bullion. It currently holds 43,000 ounces of palladium and over 62,000 ounces of platinum. The portfolio is held in custody at a federal crown corporation of the Canadian government.

For its part, the Aberdeen Standard Physical Palladium Shares is designed to track the performance of the palladium price, less expenses. It holds over 184,000 ounces of palladium in London at a secured vault belonging to JPMorgan Chase (NYSE:JPM).

2. Ways to invest in palladium: Bullion

Another way of investing in palladium is by holding physical assets directly, such as palladium bullion. In fact, financial investors may buy palladium bullion bars, palladium bullion coins or collectible palladium coins for portfolio growth. This approach may suit multiple kinds of investors, from those looking to invest small amounts of money in the metal to those with larger quantities of cash.

Palladium bars and wafers are another option, but these are not as readily available.

3. Ways to invest in palladium: Stocks

Finally, investors may gain exposure to palladium by investing in a palladium-focused business.

This method of palladium investing can be tricky — most of the world’s palladium is produced in countries with primary platinum mines, which means that it’s difficult to gain exposure purely to palladium.

Still, there are at least two primary palladium miners in North America: Sibanye-Stillwater (NYSE:SBSW,JSE:SSW) and Impala Platinum Holdings (OTCQX:IMPUF,JSE:IMP).

The following TSXV- and TSX-listed companies are examples of smaller-scale stocks that offer investors exposure to palladium, in addition to platinum and other metals:

• Bravo Mining (TSXV:BRVO,OTCQX:BRVMF), which is moving forward at its Brazil-based Luanga palladium-platinum-rhodium-gold-nickel project. Luanga was previously owned and explored by Vale (NYSE:VALE).

• Canadian North Resources (TSXV:CNRI,OTCQX:CNRSF), whose Ferguson Lake project in Nunavut, Canada, holds more than 71 million metric tons containing resources of copper, nickel, cobalt, palladium and platinum.

• Clean Air Metals (TSXV:AIR,OTCQB:CLRMF), a platinum and palladium exploration company that is working to advance its Thunder Bay North critical metals asset in Ontario's Thunder Bay region.

• Grid Metals (TSXV:GRDM,OTCQB:MSMGF), whose focus is the East Bull Lake palladium project in Ontario, Canada.

• Ivanhoe Mines (TSX:IVN,OTCQX:IVPAF), which is developing the Platreef project in South Africa. The Robert Friedland-led company is expecting production to commemce in 2024.

• New Age Metals (TSXV:NAM,OTCQB:NMTLF), a green metals company developing its River Valley PGMs property in Ontario.

• Nickel Creek Platinum (TSX:NCP,OTCQB:NCPCF), which holds the Nickel Shäw polymetallic project in Canada’s Yukon.

• Palladium One Mining (TSXV:PDM,OTCQB:NKORF), whose projects include the Finland-based Läntinen Koillismaa PGMS-copper-nickel property, along with the Tyko and CanAlask nickel-copper assets in Canada.

• Stillwater Critical Minerals (TSXV:PGE,OTCQB:PGEZF), which is advancing its large-scale flagship Stillwater West platinum, palladium, nickel, copper, cobalt and gold project in Montana, US.

• Wallbridge Mining Company (TSX:WM,OTCQX:WLBMF), which is currently exploring for base and PGMs at its Sudbury projects in Ontario.