During tough economic times or when things don’t look so good, precious metal investors can rest easy knowing that their money is safely invested in precious metals like gold and silver. These metals can protect your wealth against inflation and uncertainty. There is some ongoing debates of how, when and how much silver bullion investors should include in their portfolios.
Buy physical silver and store it in a safe or bank safety deposit box that you can have quick access should you need to.
When it comes to wealth protection and creation, silver is just as important as gold. However, silver is used in a lot of industrial applications and is more than just a safe haven investment but a metal whose demand continue will continue to grow. This demand for the precious metal makes the price of silver more volatile and more reactive than gold.
When you buy silver bullion there are certain costs that investors may not be aware of, like the fact that some silver dealers add commission fees to the price. The average is 5 to 6 percent, depending on who the dealer is. For example, the most popular silver bullion coins sold by the US Mint the 1oz. American Eagle sell at high premiums. Other government mints that make silver bullion coins like The Royal Canadian Mint also produce silver bullion coins that they sell at premium prices. Third party vendors will also add a percent of two to increase their own profit.
There are also storage costs to consider. Anyone with a safety deposit box at a bank knows that there is an annual fee that has to be paid. Home safes range in price and the level of security they present, but they can cost thousands. A bullion owner has to consider which is the safest method to store their bullion.
When you buy silver bullion, it is your and yours alone. You can do whatever you want with it. It comes in very handy in times of financial difficulty because you can sell it to a bullion dealer or pawn it to get access to the cash that you need.
Besides being an investment vehicle, silver bullion is attractive, especially bullion coins. You might find yourself inclined to collect bullion coins from all over the world just because of their beautiful designs. There are various silver bullion coins that are popular not only to investors but collectors as well. So, when buying silver bullion coins you should know which coins are in high demand. These are the kinds of coins that sell well and at a higher price. When you have coins like that, you can sell them at a high price when you need to cash them in. Buying or selling bullion: it doesn’t matter which side of the spectrum you are, you should keep an eye on the silver market and what is happening to the spot price.
The bottom line is that if people think or believe that the global economy is collapsing, then it is prudent to hedge your money in investment asset classes like silver.