Silver is another precious metal that is known as the “alternate gold” or white gold (different from the white gold alloy), and true enough silver is valued at half the spot market price for gold which is at $16.11 per ounce and $518.01 per kilo (as of the time this article was written). Silver has been mined as far back as civilizations from 3,000 B.C. which would have been the Sumerians, Akkadians, Assyrians, Babylonians and the Indus Valley civilizations. Silver is a much better electrical conductor than copper just like gold; however, their quantity comes in smaller packages compared to copper and therefore it was deemed too precious for mass production.
Aside from gold, the US Mint also sells silver coins which are as much interesting to collect as gold is. Some people even collect both or all the gold, silver and platinum coins that they can get their hands on. Since it is also a precious metal, it too has certain economic value, especially if you’ve acquired several kilos of it.
Why invest in silver coins?
The proliferation of silver is global, in fact, it is being traded on a regular basis by almost all countries in the world that have bilateral relations with each other. In the United States and most parts of North America you will find a lot of silver coin dealers from whom you can purchase silver coins and start collecting them. You will find that being a numismatic (the hobby of collecting things including coins) very satisfying and also very profitable. The silver market is worth at least $50 billion per day if we take that the value of silver is roughly 50% less than gold and investing in silver coins will have a very positive outcome for your financial future.
Things to know before buying silver coins?
Silver is relatively easy to purchase and because it’s cheaper than most precious metals in the market, you can buy it in large quantities. An investment into silver coins is a way to protect a financial portfolio against inflation or a severe bear market. While it’s true that the spot price of precious metals like silver, gold and platinum also fluctuate from time to time, it will always have value compared to other commodities which can potentially drop close to zero value in the stock market. So it’s always safe to invest in silver coins.
As always watch out for counterfeit and fake silver coins and never deal with shady silver coin dealers. Choose only US Mint accredited silver coin dealers and buy only US Mint silver coins.
What is a silver IRA?
Almost every worker in America who has been guaranteed benefits and compensation by the company that they work for has a 401(k) retirement plan. The 401(k) can be substantiated by cash and it could also be backed by silver or gold or any other precious metal! It has been found by former Congressman, Ron Paul (Tx) as well as entrepreneur Robert Kiyosaki that the US dollar value degrades over time. If your 401(k) is paid to you in US dollars by the time you retire, it may not have the same value as it did 20 or 30 years ago back when you first started contributing!
Having a gold or silver IRA (individual retirement account) will give you certain guarantees that your 401(k) will not depreciate. As mentioned earlier investing in silver coins will protect you from inflation which seems to regularly happen ever decade or so.