Before you make any investment it is important you know in advance whether it is a wise financial decision or not. That is also true when you are looking to invest in silver. You want to know if the price of silver per ounce will double in the next few years of your investment. This article will take a look at 10 reasons you should invest in silver now.
Silver is a precious commodity and is valuable just like gold. In fact, silver has been used for centuries to make coins for many years. Therefore, when you invest in silver you are guaranteed you have a valuable asset that has been used as money for centuries.
Unlike digital assets like Bitcoin which you cannot hold in your hands, silver is a real asset that you can hold in your hand and carry it in your pocket. Therefore, there is no risk of losing it to hacking like other digital assets.
Sometimes back, you could exchange 1ounce of gold for 15 ounces of silver. Today 72 ounces of silver is equivalent to 1 ounce of gold. Silver is a good investment for any investor since it is affordable and helps protect you against a financial crisis.
In case you want to make small purchases, you don’t have to worry about transacting with one ounce of gold. Silver comes in smaller denominations compared to gold which makes it easier to make small purchases.
5. Future demand
As the prices of gold increase, it will become expensive for most people to acquire this metal. However, silver will remain affordable, which will lead to many people wanting to acquire this metal.
Silver is known to be more mobile in price compared to gold. So in case of an economic crisis, silver is expected to increase more in price than gold. In 1970 economic crisis, the price of gold rose by 2500% compared to 3800% by silver.
Silver is known to be the most conductive metal available on earth. This makes it a valuable metal for industry use since it is cheaper compared to gold which is also a good conductor.
Silver just like gold is a unique metal which makes it difficult to develop a substitute. Because silver cannot be printed or copied, it will remain a precious commodity.
Silver is known to positively correlate well with inflation. Therefore, when other commodities like paper money lose their value during inflation, silver will maintain its value.
There is always a risk that investing in gold would lead to government confiscation. However, silver does not carry the same risk since there is no history of government confiscation.