Is silver a good investment? That is one question many investors are asking before a decision is made to invest their money in silver bullion. Historically, it has been 16 to 1 ratio with gold. That means 1 ounce of gold is equal in price to 16 ounces of silver. At this time in history, that ratio is incorrect. Prominent analysts believe that the price will go up to reach the historical ratio of gold to silver.
The economy of the United States and many countries is declining. We have high unemployment and jobs are not being created to meet the demand. Our housing market is in a slump, and repossessions of homes are at an all time high. Our country is printing more and more paper money with inflation on the rise. As the economic turmoil continues to escalate throughout the world, silver is a relative stable investment. People diversify their portfolios with this metal as a hedge investment which remains relatively stable even if the market fluctuates.
The laws of supply and demand continue to support the increasing price of silver. It is used in technology, medicine, and many other consumable applications. Additionally, there is a strong demand for investor bullion coins throughout the world. The supply of this metal has a limit. Although it is relatively easy to mine, the demand is so great now that production for silver has increased tremendously throughout the world. Eventually it will be scarce.
There are a number of ways to invest in silver. As a small investor, I am more comfortable with coins or bars because I believe they are the safest form of investment. There are many denominations to choose from and the weights of the coins and bars are standardized. Possession of the physical silver gives the owner many advantages such as the ability to store it in a fire-proof box or a safe deposit box at the bank. Your coins are then easily available when it is time to sell.
Exchange-Traded Funds (ETFs) and Certificates is another option for silver ownership. Investors then do not have to hold the physical silver. For many, this is an attractive option.
Whatever method of silver ownership that best suits your needs, investing in silver bullion is a must in our turbulent times of mounting inflation and the weakening dollar. Analysts continue to believe that investor demand for silver will remain strong.
When the Funds Are Low And The Debt Is High How to Ensure You Purchase Authentic Antique Silverware Precious Metals Price Discovery - At and Despite the Margins Gold Bullions - An Investment Option Purchase of Gold And Silver - Find The Best Deals Counterfeit Coin Detection - 4 Ways to Initially Spot a Counterfeit Coin (and Avoid Being Taken)
0 comments:
Post a Comment