Tips for Investing in Silver Bullion
With difficult economic times and fears over the governments handling of the money supply people once again turn to the traditional stores of wealth - Gold and Silver. Buying Gold Bullion is out of the reach of most average investors due to its much higher price and than Silver. The current ratio at the time of this article is 1/70. Many feel this ratio is way out of balance given the ratio of naturally occurring is about 1/17.5. Should Silver return to this natural ratio anyone holding physical silver is likely to have a very good return on investment should they ...
Why You Should Invest in Silver Bullion
The value of silver has gone up the last several years due to many reasons, like the industrial demand for silver. It is a great way to secure your hard earned money when the economy is going down hill. Silver is always going to be worth something, no matter how much paper currency is worth. There are many ways to invest in silver, and the way that is best for you might not be the best way for someone else. If you are looking to invest a lot of money, then you will probably want to buy heavier silver than someone ...
Investing in Silver
The main difference between gold and silver is that gold is held by almost any country as a stabilization device for their currency. Therefore, gold has a special status; governments tend to keep the gold price stable or influence it by holding or selling deposits. Furthermore, gold is treated differently for taxation, being tax free in many countries. In the case of silver in some places the buyer has to pay taxes when purchasing silver - an amount that will be lost when selling. This has to be considered in profit calculations. As gold is a good and reliable form of ...
Investing in Silver Bars
If you collect silver bullion bars, Engelhard Silver Bars are more than likely a part of your collection. These gorgeous bars have not been mass produced since the 1980's, so getting one can be very tricky. The easiest way is to buy is from an investor on sites like Ebay. Engelhard has a spotless reputation for the quality and purity of their bullion bars, and the bars are always stamped with the exact purity of silver contained. Collectors love this brand, because they know that they have the ability to sell or buy with confidence no matter where ...
Collecting Silver Coins Can be Profitable
Collecting silver coins falls into several different categories and I'm only going to mention a couple. There are historical silver coins minted by an actual mint controlled by a government. Collecting silver coins is a nice investment because silver is appreciating in value and easy to keep in your house or in safe keeping box in your bank. Collecting silver coins can make something special for your family, specially if the coin you collect in the future increases value. Collecting silver coins, however, can be both fun and profitable if you go about it the right way. With silver ...
Silver is a pliable, adaptable, and a touch harder than gold, with a brilliant white metallic luster that may take a high level of finish. It has the greatest electric conduction in contrast to all other metals, even greater than copper, but its greater price has stopped it from being widely utilized as the replacement for copper for electric designs.
Silver is found in native form, amalgamated with gold or combined with sulfur, arsenic, antimony or chlorine in ores. Most produced silver is a derivative of the extraction process of these metals. However, there are some mines especially dedicated to the extraction of this ore. Silver is a reasonably rare alloy in the Earth’s crust. Its profusion is estimated to be about 0.1 parts per million on Earth. It is also found in seawater and its profusion there is thought to be about 0.01 parts per million.
Silver has exceptional place in the story of elements as it is one of the 5 main compounds found and used by mankind, the other compounds being gold, copper, lead and iron. Silver was subsequently discovered after gold and copper. Silver occurs naturally as a free metal, but far less regularly than gold or copper. More often, silver and lead are found together in nature. Archaeologists (scientists who study ancient civilizations) have found silver objects dating to about 3,400 BC. In Egypt. Drawings on some of the oldest pyramids show men working with metal, doubtless extracting silver from its ores. Written records from India describe the silver metal as far back as about 9 hundred BC. Silver was in common use in America when Europeans first arrived.
Silver coins are regarded as the oldest mass-produce coins, used in ancient Greece. Many persons worldwide collect coins, and various rare coins can be found on the numismatic markets. As with other collectibles, a number of factors are taken into account in determining the value of silver coins. Among these are rarity, demand, condition, and how many coins were minted.
Many counterfeit coins, silver plated and metal made, are in circulation, and these are often produced in Asian countries. Counterfeit silver coins may be of very good quality and if you are not an expert, it may be hard to identify them.
There is a long learning curve before you become an investor in silver numismatic coins. In addition, it is important to work with a trusted and knowledgeable dealer. Trusted dealers provide close-up pictures of counterfeit and real coins, making it possible to avoid buying the first variety. While the seller’s reputation is important, to make sure you are buying what you want, you should know the size and weight of the coins, along with other information. Beginner investors are better off investing in bullion, especially if the primary goal is to build purchasing power and protect wealth.
A way to make profit and serve as a buffer against the changing tides of an unpredictable economy is to sell silver bullion coins. Having a reserve of silver bullion coins is an easy way to invest in the precious metals market, and investing in coins can provide an additional amount of liquidity to your finances, since they can be sold to potential buyers. If you make the decision to liquidate any amount of your silver bullion coins, there are a few things you should keep in mind.
Selling silver bullion coins carries some distinct advantages. Because it is a silver bullion coin, it would be most likely minted from pure precious metal. In the case of silver coins, that means that the coin may have up to 99.9% silver content. Of course, there are less pure bullion coins in circulation, such as U.S. dimes, quarters, half dollars, and silver dollars minted prior to 1965.
It is important to note the difference between pure silver bullion coins and regular coins in terms of their purpose and use, that is, the primary difference between coins that are created (or “minted”) for the purpose of investment and those that are intended for common circulation. Coins in common circulation are minted by the government, and these coins are exchanged in any number of transactions on a daily basis. Pure silver bullion coins are similar to other coins that are minted by either the government or private mints for various investment purposes, and they are usually never intended for daily use but are to be understood primarily as an investment.
We are all aware that before we sell a house, we have to have it appraise so that we have a broad idea of the sorts of improvements we need to make so that we sell the property for a higher price. In relation to coins, we also need to have it appraise ahead of selling to have a clear view of how much money the coins are worth. Currently, the gold business is flourishing. If you have gold coins on hand and you aspire to sell your precious pieces, you need to have them appraise so you will not be rip off its actual value. Cited below are guides how to keep coins appraise.
Value Of Coins – How It Is Determined
Coin dealers and appraiser look at five factors. First is the general condition of the coin. Examine the structure of the coin. Second is its rarity. Rarity denotes on the number of coins that were struck. Third is the age of your coin. Fourth would be the demand. Do people invest in your coins? Intangible is the fifth factor and it is similar to demand. However, it is more personal.
One of the greatest actions you can take is put your savings to work for you. That’s how many people have gotten rich in the last century. But at present, there are a small number of places you can invest your cash and be assured a solid return on your financial investment. Particularly with the present state of the banking and stock market industries. In fact, this is why lots of people are considering gold to be the best financial investment at this moment.
Don’t trust me?
Just take a look at what has happened to the Dollar’s purchasing power over merely the last decade. If you truly want a surprise, check out what the dollar could purchase 50 years ago. Unfortunately, the buying power of the dollars you have are managed and manipulated by the Federal Reserve. If they determine that your buying power is too excessive, they just start printing more cash. Whenever they think that they need a stronger dollar (more purchasing power) they raise the rate of interest higher. This implies, that if you need a hedge against some type of catastrophe, real or man-made, having some of your dollars converted to gold or other precious metal, is without doubt a beneficial thing.
Coins are outstanding investment vehicles as they can protect wealth against economic threats. This is the exact reason why many are investing their hard earn cash in precious metals like gold, platinum and silver. Apparently, the value of precious metals like gold and platinum are very high and not all can afford to pay for these metals. Folks turn to silver instead because it is cheaper and more practical.
Venturing in silver is as easy as one, two and three. One can choose to invest on bullion, scrap silver and coins. The easiest is venturing in silver coins. One can conveniently browse through the portfolio of silver coins collectors and merchants and choose which coins fit the budget. After which, one can pay using their individual credit cards or by means of cash transfer services like PayPal. Of all the silver coins, the Silver Eagle is the most popular. Its beauty is second to none. The American government guarantees the Silver Eagle Coins’ weigh, purity and content. Each silver coin is composed of 99.9 percent pure silver.
When investing in any kind of business or commodity, it is important to know the facts so that you will not be victimize by swindlers. If you are venturing in silver eagles, be sure to note the following.
Every coin collector needs to have at least some types of silver bullion coins in his collection. Such coins are available in many multiple denominations with varying designs and different year of mintage. South Africa is credited as being the in the first place nation to make the modern 1 ounce bullion coin. They were produced out of gold but indeed begun the idea of minting bullion coins throughout the world.
The gold bullion coins of South Africa were followed up by silver bullion coins. The United States of America started minting its collection of silver bullion coins in 1986. The first of these was issued as a silver version of the original 1 ounce gold eagle bullion coin. Canada soon followed up with their version of a 1 ounce silver bullion coin together with with the silver Maple leaf in 1988. The silver Maple leaf uphold the original design of the gold Maple leaf bullion coin which was apprised back in 1979.
Canada is perhaps the only community to date that has a bullion coin issued in palladium. The more popular metals like silver, gold, and platinum, are all mixed with other, less important metals, of course: this is why they are given amounts of 99.9% purity or slightly higher.
The monetary role of silver has been recognized in various historical periods, and the word silver is used for money in different languages. In Spanish and French, for instance, the two words can be used interchangeably. In Hebrew, the word kesepph also means money. Interestingly, money and silver have the same meaning for over 50 million people around the globe.
Among the main and most interesting international monetary tendencies today, which can also be observed in Canada and the US, is the growing importance of the monetary role of silver. To that, this role makes a significant contribution to the growth of the demand for silver. Demand for this metal is markedly on the rise, especially in India and China, which is sure to keep the price rising and performing better than gold.
It can be safely said that silver has become a metal with a monetary value. Its value is rising at the expense of the major currencies worldwide, which are dropping in value.
As the price of silver continues to reach higher and higher levels, many market participants have raised concerns that various silver ETFs may not be able to handle the increasing demand. As each fund is backed by reserves of physical silver, as demand surges, the relatively small market may become overextended.
Under the terms of most ETF structures, the fund is required to hold enough physical silver to back up the shares that are sold in the market. As each new share, or block of shares, is created, more silver must be held. With silver hitting new highs, investor activity has surged. Some investors believe the silver market is in a short term bubble, while others think a favorable gold to silver ratio means the market has plenty of potential.
In recent press releases, iShares has tried to calm the market by guaranteeing that appropriate procedures are being followed. The physical reserves that are held in London by the fund’s custodian are monitored and inspected. The single issue that is not covered is that no purity testing is done or required by the custodian upon receipt of the reserve. Should fraudulent delivery occur, it is possible that the true reserve levels might be overstated.
There are various precious metals such as gold, silver, palladium and platinum. Among these, it seems that the price of silver is now increasing quite fast but of course, it still has a long way to go to reach the peak. Among all the precious metals, silver has not reached its previous high price. During the 80s the price of silver was a mere $10 whereas now it is above $26 per ounce.
Any kind of investment always has highs and lows and this applies for the precious metal silver too. The precious metals such as silver and gold have also been a safe investment for those who want to put their money away from equities and exchange markets, which have been showing a lot of volatility and instability. But even in such investments, one is not entirely safe as you can never tell which way the market will go.
It has been noticed that the price of gold has been continuously on the rise for a few years now but the price of silver too seems to be doing the same, of late. After the economic crash, gold prices first started to zoom as there were many investing in that precious metal and there were few takers for silver precious metal. But when gold started touching $1400, investors seem to be betting on silver and have started putting their money in it.