Both gold and silver are believed to be good investments in a struggling economy since precious metals act as a hedge against inflation – as inflation rises, gold and silver values increase. However, most experts in the past have considered gold to be the better, more stable investment.
Even though conventional wisdom tells us that gold is the safer choice, many experts are beginning to see some advantages of investing in silver:
- Silver is still a bargain relatively speaking and is, in fact, cheaper than it was in 1980, when it reached a high of $49.45 per ounce. This indicates that it has yet to reach an all-time high, even though it has increased in value significantly over the past 12 years.
- Silver is in high demand for industrial applications and is used in a variety of products, such as batteries, electronics, cutlery, solar panels, eyeglasses, automobiles, mirrors, water purification systems and many more.
- The supply of silver is limited, due primarily to its increased demand in industrial applications. Limited supplies can often lead to an increase in value.
All this adds up to a bright future indeed for silver, which was once known as the “poor man’s gold.” If you’re considering investing in this precious metal, there are several different avenues that will allow you to do so.
Options for Investing in Silver and Gold
Many investors agree that now is a good time to invest in silver, although it definitely comes with a certain amount of risk. Remember that even though silver prices often track with those of gold, that’s not always the case.
If you decide on investing in gold or silver precious metals, it’s always a good idea to get in touch with investment professionals like ITM Trading itmtrading.com before you invest. They are the most reputed full service providers that specialize in various gold and silver products.
When it comes to investing in precious metals they can help you the best. You can check the detailed ITM Trading reviews online, before trying them out.
Below are some of the best options available for you when you want to invest in gold or silver.
Coins, bars and jewellery: While there are certainly other ways of investing in a precious metal, nothing can really compare to owning an actual physical quantity of one. Whether you choose men’s silver rings, vintage coins or bars, there is a feeling of certainty in being able to actually handle your investment, and this can be both satisfying and comforting to many investors.
Futures: A silver future is a contract to buy an agreed upon amount of silver sometime in the future at an agreed upon price, which is established at the time you purchase the contract. Although somewhat complicated for the average investor, futures trading of commodities through COMEX can be a powerful trading tool. If you’re interested in silver futures, it’s best to consult an investment specialist accustomed to working in the futures market.
ETFs: A silver-backed exchange traded fund allows investors to buy a paper representation of the metal, not the metal itself. The actual silver assets are typically held in trust by a fund manager. ETFs are popular with many investors because they are easier to access than futures markets.
Stocks: Consumers may also choose to invest in silver through the stock market. These equities often include companies that deal with the exploration, mining or refining of silver.
