Platinum vs Gold: Which Is A Better Investment Or Jewellery Choice In 2025?

When it comes to buying precious metals, most people in India immediately think of gold or silver. Gold holds deep cultural and religious significance and is widely seen as a safe investment. But there is another metal that is steadily gaining attention among modern investors and jewellery buyers–platinum. Known for its rarity and premium feel, platinum has at times outperformed gold in terms of value and is increasingly seen as a stylish alternative to traditional gold jewellery.

If you are considering metal-based investments, it is important to look beyond just the market price. Factors such as liquidity, resale demand, purity, and accessibility also play a key role in determining the right choice.

In this guide, we compare platinum vs gold on important parameters like investment returns, jewellery trends, taxation, and more. Whether you are looking to invest in precious metals or purchase jewellery in 2025, this comparison will help you make a well-informed decision.

Platinum vs Gold: What Is The Real Difference?

Platinum and gold are both excellent investments and jewellery alternatives. However, the two metals differ from each other in several ways. We have discussed the most critical points of difference between platinum and gold, below:

Why Gold Glitters, But Platinum Speaks Modern Elegance

Gold has been associated with its legendary yellow colour and is considered a symbol of wealth, prosperity, and auspiciousness in Indian culture. It is also softer and more malleable, making it ideal for intricate designs in jewellery. Platinum, on the other hand, is naturally white, heavier than gold, and much rarer in occurrence. Its subtle, silvery shine is often associated with understated luxury and modern tastes. This is why younger buyers usually prefer it.

Tradition vs Trend: How India Values Gold and Platinum

Let's face the ultimate truth: Platinum has become quite popular among younger buyers, but it is nowhere near the cultural and emotional value associated with gold in India. To be very honest, platinum does not even come close to the cultural value of silver at this point. Be it weddings, festivals, or as a family heirloom, gold remains deeply entrenched in the Indian psyche as a symbol of security and tradition.

However, platinum has its own cult and niche fan base, and this is why it is often used for special occasions, such as engagement rings, anniversary gifts, and high-end fashion statements. It lacks the emotional resonance of a generational touch, though. In the battle of gold vs platinum jewellery, the former is a clear winner. 

Availability And Market Presence Of Gold and Platinum

Gold’s market in India is widespread, with every jeweller stocking a range of designs and denominations, making it easily accessible and highly liquid. Platinum, being rarer and more expensive to extract, is less commonly found in jewellery stores and has lower resale liquidity.

Also Read: (New) RBI Rules For Gold Loans

Investment Angle: Is Gold Still Better Than Platinum?

Let us not beat around the bush and be realistic in this assessment. Platinum was indeed valued higher than gold at different points in history. 

However, when it comes to having an investment and hedging edge, gold is the ultimate winner. 

How Gold Protects Wealth During Inflation: Then and Now

Is platinum cheaper than gold today? Yes, it is now. When gold’s price breached the psychological barrier of INr 1 lakh per ten grams recently, platinum traded at close to INR 39000¹. It is a critical difference between the two metals when considering the investment perspective. Platinum traded at INR 28000 (approx.) in 2010 at a time when gold’s value was close to INR 18500. Both metals have increased in value, but there is a significant difference. 

Investors often turn to gold as a “safe haven” asset in uncertain times, and it continues to form a part of central bank reserves worldwide. Its ability to retain value over long periods, coupled with its deep cultural acceptance, keeps gold firmly at the centre of most investment strategies.

Platinum’s Industrial Power: Beyond Just Jewellery

The difference primarily lies in the use of platinum, as its demand is more heavily skewed towards industrial applications, particularly in the automotive and electronics industries, due to its catalytic and conductive properties. While this gives platinum unique demand drivers, it also means its price is more closely tied to industrial cycles. In jewellery, platinum remains a niche segment. So if we compare platinum vs gold durability, the white metal has an edge over the yellow one. 

Volatility And liquidity Of Gold And Platinum

Gold enjoys a vast and highly liquid market, making it easier to buy and sell at competitive prices. Platinum, however, has a much smaller and thinner market, leading to higher price volatility and potentially wider spreads when selling.

Also Read: What Are Gold Bees And Why You Should Invest In Them?

Taxation And Purity Differences In India

When buying precious metals like gold or platinum in India,  it is essential to consider not just the price but also the taxation and purity standards. These factors impact both your upfront cost and the long-term resale value of your investment.

GST On Platinum Vs Gold

Both gold and platinum attract 3% GST in India on jewellery purchases, keeping the upfront tax burden similar. However, due to platinum’s rarity and higher making charges, the overall cost can still differ significantly..

How are both metals taxed when sold

For both, capital gains tax applies:

1. Short-term gains (if sold within 3 years) are taxed as per your income slab.
2. Long-term gains (after 3 years) attract 20% with indexation benefits.

BIS Hallmarking: 22K, 24K gold vs 950 Platinum Purity Standards

Gold jewellery in India is typically 22K (91.6% pure) or 24K (99.9% pure), certified under the BIS hallmarking system. Platinum is sold at a standard purity of 95% (marked “950”), also certified by BIS².

Conclusion

While jewellery choices are made based on individual preferences, when considering investment, numerous factors come into play, including historical performance, stability, liquidity, and the availability of buyers. As an investment, gold has outperformed all other metals, including platinum. Consequently, numerous digital and paper alternatives are available to mimic the performance of the gold price, such as gold bonds versus gold ETFs and sovereign gold bonds versus physical gold. Platinum has grown in value, but it is nowhere close to gold’s consistent ROI and hedging capabilities. 

Choosing between gold and platinum depends on your priorities—gold offers security and liquidity, while platinum appeals to those seeking uniqueness and are open to higher risk. In 2025, gold continues to dominate, but platinum is gaining ground among trendsetters.

For alternative investment options beyond traditional metals, explore curated opportunities on Grip Invest.

FAQs On Platinum Vs Gold

1. Is platinum better than gold for investment?

Gold is generally considered a better investment option for conservative investors due to its stability and liquidity. Platinum is riskier but can help diversify a portfolio.

2. Why is platinum cheaper than gold in 2025?

Platinum prices are more dependent on industrial demand, which has slowed, while gold remains strong as a safe-haven asset.

3. Which is more durable: platinum or gold?

Platinum is more durable and scratch-resistant than gold, making it more suitable for daily-wear jewellery.

4. Can I buy platinum as an investment like gold ETFs?

Platinum ETFs are not as widely available in India as gold ETFs. Investment options are mostly through physical platinum or international funds.

References:

1. Indian Express, accessed from: https://www.newindianexpress.com/business/2025/Jun/13/gold-crosses-rs-1-lakh-mark-again-after-israeli-attacks-on-iran#:~:text=On%20the%20MCX%2C%20gold%20prices,1%2C01%2C295/10%20gram.

2. Good Returns, accessed from: https://www.goodreturns.in/gold-rates/#:~:text=The%20price%20of%20gold%20in,for%2022%20karat%20gold%20and

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