Silver has attracted man's interest for thousands of years. In ancient times, silver deposits were plentiful on or near the earth's surface. Relics of ancient civilizations, include jewelry, religious artifacts, and food vessels formed from the durable, malleable metal. In 1792, silver assumed a key role in the United States monetary system when Congress based the currency on the silver dollar, and its fixed relationship to gold. Silver was used for the nation's coinage until its use was discontinued in 1965. The dawn of the 20th century marked an important economic function for silver, that of an industrial raw material.
Today, silver is sought as a valuable and practical industrial commodity, as well as an appealing investment precious metal.
Although silver is relatively scarce, it is the most plentiful and least expensive of the precious metals. The largest silver producing countries are Mexico, Peru, the United States, Australia and Chile. Sources of silver include; silver mined directly, silver mined as a by-product of gold, copper, lead and zinc mining, and silver extracted from recycled materials, primarily used photographic materials. Today, silver bullion stocks make up a significant component of silver supply.
The demand for silver comes primarily from three areas; industrial uses, jewelry and silverware, and photography. These industries represent 95 per cent of annual silver consumption. Silver's superior properties make it a highly desirable industrial component in manufactured products. Silver's artistic beauty and status make it one of the most romantic and sought after precious metals.
Silver's role in financial planning is similar to that of gold in your portfolio. See More About Gold. For the average investor, silver preserves wealth by hedging against inflation. Because economies fluctuate between inflation, recession and expansion, silver can help diversify and lower overall risk. For example, between 1971 and 1981, the U.S. dollar lost more half its value, while silver prices rose nearly five times.
Silver bullion bars are the least expensive way to own silver. They can be converted easily to cash, prices are widely quoted and they are internationally negotiable.
Silver bullion coins are relatively inexpensive. Because of their smaller unit size they are affordable and easily converted into cash. As in silver bullion bars, prices are widely quoted and internationally negotiable.
The American Eagle Bullion program was launched in 1986 with the sale of gold and silver bullion coins. Platinum was added to the American Eagle Bullion family in 1997. A bullion coin is a coin that is valued by its weight in a specific precious metal. American Eagle Gold and Platinum Bullion coins are available in four denominations: one ounce, one-half ounce, one-quarter ounce, and one-tenth ounce while the silver bullion coin is only available in the one ounce size.
Diversity is silver's primary asset. Its unique properties include beauty, strength, sensitivity to light, malleability and ductility, electrical and thermal conductivity, reflectivity and the ability to endure extreme temperature changes. These properties allow groundbreaking research to be conducted by scientists and engineers that effect the way we live.
Silver more than other precious metals, has significant demand rooted in sectors as diverse as imaging, electronics, jewelry, coinage, superconductivity and water purification. For this reason, silver is no longer know as just a precious metal, a store of value, a work of art or an industrial metal. It is all of these. Today silver is indispensable, working all around us to improve the quality of our lives.
Bullion is the basic commodity traded in the precious metals market. By adding precious metals in general, and silver in particular, to a portfolio of stocks, bonds and mutual funds, an investor is introducing a tangible or real asset to the asset mix. This increases the degree of diversification and protects the portfolio against fluctuations in value of any one asset type.
Economic Forces
The economic forces that affect the price of precious metals are different from, and often are opposed to the forces which determine the price of most common financial assets. This independent movement of precious metals to other financial assets can reduce overall portfolio volatility and contributes balance.
The Declining Dollar
The purchasing power of the U.S. dollar has steadily declined over time and is expected to continue to do so. Precious metals can often provide a ?hedge against inflation? capability. For example, between 1971 and 1981, the U.S. dollar lost more than half its value, while silver prices rose nearly five times. Economies fluctuate between inflation, recession and expansion, precious metals investment help diversify and lower overall risk.
Asset Allocation
Whether you are conservative or aggressive in your investment approach, precious metals can represent an important part of your asset allocation. Some experts suggest that 10-15% of portfolio assets be in precious metals. No matter what level of risk an investor wishes to take, every portfolio needs a secure foundation.
Ease of Ownership
For investors who wish to take possession or direct control of their assets, buying physical bullion has appeal. Owning bullion is easy and convenient, and commissions on buying and selling it are minimal.
Inexpensive Silver
Silver bullion bars are the least expensive way to own silver. They can be converted easily to cash, prices are widely quoted and they are internationally negotiable. Silver bullion coins are relatively inexpensive. Because of their smaller unit size they are affordable and easily converted into cash. As in silver bullion bars, prices are widely quoted and internationally negotiable.
Industrial Demand
Silver, more than other precious metals, has significant demand rooted in sectors as diverse as imaging, electronics, jewelry, coinage, superconductivity and water purification. For this reason, silver is no longer know as just a precious metal, a store of value, a work of art or an industrial metal. It is all of these. Today silver is indispensable, working all around us to improve the quality of our lives.
The Silver Institute
More background and excellent coverage of the history and uses of silver can be found at the web site of The Silver Institute.
- Weight: 1 Troy oz,
- Height: 50 mm
- Width: 29 mm
- Thickness: 2.10 mm
- Purity: .999
I sell the 1 (one) oz Bar shown above. Each bar is sold for $1.25 over spot "market price" this $1.25 is the fee charged by the mint to mold the silver. Each bar come in a airtite plastic capsule to protect your investment. Direct Fit holders are manufactured (injection molded) using acrylic plastic with a non-yellowing agent, producing a two piece, snap together, friction fit cover and base. None of the components of these materials contain any PVC. The holders are highly durable and scratch resistant. All the bars I sell come straight from the mint and are proof .999 fine pure silver. To get a sale price please fill out the form below, and I will then email you back with the quote. Silver moves up and down with the market, once you email me that locks you in at the current price.
Spot (Market Price)
Silver Institute
Send E-Mail to: [email protected]
