Welcome to Buy Silver Online. As the name suggests, this website is a guide to buying silver online. We provide in depth articles and recommendations about buying various forms of silver, such as silver coins, bars and rounds.
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While precious metals have always been considered a source of wealth, there has been renewed interest in using gold, silver and other metals as investments in recent years due to the unstable global economy. As has always been the case, interest in gold and silver increases as the confidence in government-issued currency falters.
Silver is often overlooked when compared to gold, but it can play an important role in your investment strategy. Read on to learn how silver differs from other investments and the many different ways in which you can buy silver online.
Silver vs. Gold
While we’ll talk about how silver stacks up against other investment opportunities, the most important comparison may be to another precious metal – gold. Certainly, gold is the investment that’s closest in similarity to silver: both are precious metals, both have a history of being used as standards for currency, and both are often minted into coins and bars.
The major difference between silver and gold comes down to price. When you buy gold bullion, as you probably know, it is much more expensive than silver. While the difference in the two commodities has fluctuated over time, the price per ounce of gold is usually well over 50 times the price of silver.
This has made silver a more popular choice than gold for investors who aren’t looking to spend a lot of money at once. Silver affords you the option of making small investments and still acquiring a physical silver product in the form of coins and bars.
Silver vs. Other Investments
Like other precious metals, silver is not generally seen as an investment that holds the potential for high returns. While both silver and gold have seen tremendous growth over the last decade, this is atypical; while the price of these metals can fluctuate greatly in the short term, they tend to be fairly stable in the long term.
Instead, both gold and silver are considered excellent stores of wealth. These metals are a great way to guarantee the long-term value of your wealth, as they tend to be resistant to downward market forces (and, in fact, often thrive when confidence in other investments is faltering).
Compare this profile to that of stocks. In the long run, holding onto stocks will virtually always show a better return on investment than holding silver. However, in the short run, stocks are tremendously volatile, with large losses being commonplace during times of economic hardship.
Which of these investments is right for you is very dependent on your needs and worries as an investor. If you want security and safety, silver and other precious metals are the way to go. If you’re looking to fund a long-term retirement plan where growth is more important than year-to-year stability, stocks are likely a better option.
Buying Silver Coins and Bars Online
There are many ways to purchase silver online, as well as a large number of reputable dealers who have silver products for sale.
One of the most popular silver investments is fine silver coins. These silver bullion coins have usually been minted by one of many governments; coins like the American Silver Eagle and the Chinese Silver Panda are widely available for investors around the world.
Keep in mind, however, that if you purchase silver coins, you will pay a premium over the spot price for silver. For instance, a dealer might charge $2 above spot for a one ounce coin, meaning you’ll pay $2 over the market price for silver on each coin you purchase. This is offset somewhat by the collectible nature of these coins.
Similarly, silver bars are another option that allows you to have physical silver in your possession. Bars come in a number of different sizes, and can be purchased from dealers or on mercantile exchanges. One advantage to silver bars is that they usually have a smaller premium above the spot price than coins (though they are less likely to gain value as collectibles).
Buying Other Silver Investments
Of course, you don’t have to buy silver online and store physical silver in order to have silver investments. One increasingly popular way to purchase silver is through commodities markets like the New York Mercantile Exchange. Silver futures and other derivatives allow you to invest in silver without worrying about storage concerns, and without paying a premium on the price of your silver.
Another increasingly popular way to buy silver online is through Forex sites that allow individual investors to trade on the foreign currency markets. Many of these sites also allow trading of commodities, including gold and silver.
These sites allow you to speculate on the price of silver and other products without requiring you to worry about storage or other concerns that come with holding a physical silver product. Forex sites also feature very low premiums on their bid and ask prices, making them ideal for high-volume investors who are interested in speculating on silver futures.
If you’re more interested in holding onto an investment than buying and selling, silver exchange-traded funds may be more your speed. These funds allow investors to have exposure to the silver market through silver derivatives. While it’s not quite the same as holding physical silver, it does give your investment portfolio that same sense of security that only precious metals can provide.