Investing in silver coins, hmm! Well, if you check in with your financial advisor, they’ll tell you that it’s a good call. Silver coins are increasingly becoming, and among the most lucrative investment option in the stock market. They’ll generate the capital growth you might require for your other investment options as well as generate some bucks for that rainy day.
The value of those shiny coins fluctuates by the hour but silver has, and for the longest time, retained its luster and its value tends to also go up. Whether it’s through political turmoils or the occasional economical instabilities, silver is the coin for you! When the demand is higher, you can surely bet to rake in some good money with silver coins. That having been elaborately mentioned, below are the eight reasons you should invest in silver coins.
- Silver Coins Are An Undervalued Asset
There was a time when you could purchase some ounces of silver at a considerably low price. But time has changed and the value of silver has gone up exponentially. This hasn’t always been the case, and it’s among the reason why most people are still hesitant on investing in silver coins. This silver maple leaf coin guide has a history of how far the silver coin has come from including its valuation trends. As recorded in the annals of history, 15 ounces of silver were worth an ounce of gold. Today, however, the tides have changed, and you can, with an ounce of gold, buy about 75 ounces of silver coins.
- There’s A Wide Variety Of Silver Coins Out There
Silver coins come in a wide array of varieties both in size and in quality. You have everything ranging from 1-ounce silver coins to 10 ounces. The larger silver coins that weigh 1kg are an alternative to investing in silver bars. With such weight, you can stock up your wealth in a single chest of silver coins.
- The Quality And Purity Of Silver Coins Is Amazing
Silver is among the purest of metallic substances, and it’s no wonder why most people prefer to invest in this rare yet profoundly pure substance. Silver coins are about 95% pure with the purest of them all being the Canadian silver maple leaf coin.
Silver coins are in limited supply making them an exceptionally great investment option. Market laws dictate that when the supply is low, the demand will be high on the most sought out products and silver coins are no exception. While the supply of silver is not infinite, its demand has over the past years grown, with silver coins generating lucrative investment options.
- There’s A Ready Market For Silver Coins
Among the most important factors to consider when investing in coins is liquidity. The vibrancy in the coins’ market is ever-changing. Silver coins are a rare gem and having them in your investment portfolio promises you a great resale value compared to other types of coins. Whether it’s a Krugerrand or a silver Britannia, you’ll have every reason to smile after a transaction with such coins.
- Silver Is Inherently Valuable
Remember the first opium war between the UK and China? Did you know that they were fighting for the supreme control of the silver trade as silver was at the time scarce? Silver in its natural form is durable and will last for years. The characteristics of silver are among the many reasons why governments still use it in making their currencies and having a collection of rare silver coins in your portfolio is among the ways you can generate immense wealth.
- Silver Coins Have A Convenient And Competitive Market Value
Do you know the reason why most people don’t invest in coins? They lack the financial knowledge and the capital for it. Silver coins provide a solid investment opportunity both in the stock market and in liquid investment. With silver coins, you can have your bank trade for you or keep them in your piggy bank as treasured collector’s items. But you’ll be well advised to keep your coins in the bank for security reasons. Nevertheless, you’ll need sound advice from a qualified financial adviser before making any drastic investment moves as they’ll help you to understand the various aspects relating to silver coins.
- The Volatility Ratio
The forces that drive gold prices high are almost the same forces that keep the prices of silver coins above the board. The reason behind this can be explained by consumer purchasing behaviors. One thing to note is that during inflation, money losses its purchasing power, and it’s at this time that investors turn to precious metals as the only form of investment. Silver provides a great hedge for investors looking to protect their investments and still make money out of it. Investing in silver coins provides the same opportunities because its volatility ratio compared to gold is almost the same.
- Silver Is The Poor Man’s Gold
This has always been the comparison of gold to silver. Silver coins are a comparative option to those who cannot invest in gold coins. It’s yellow, yet not that useless cousin is expensive making silver coins a cheaper alternative. The same factors that drive the gold prices high are the same that cause the prices of silver to go up. While you might be a bit skeptical about investing in silver coins, you must consider diversifying your investment portfolio by including silver coins in your bucket list.
Silver has a more appealing investment option as compared to gold in terms of its appreciation in the market and a better investment option for small investors. Also, you can buy silver coins in a range of quantities from just a few ounce coins to the point when you can make a huge investment of higher weighted coins.
Now, if you haven’t come to the conclusion that silver coins can be a great investment option for you, then the above pointers should convince you otherwise. As the prices for gold coins go up, those of silver will also appreciate in value. This makes the poor man’s gold a worthy investment option that you need to tap into.