Investing in Silver – A Growing Investment Opportunity
Investing in Silver – A Growing Investment Opportunity
There are many different investment strategies to consider if you are thinking about growing your capital. It depends which investment strategy you choose, but investing in general is a good financial move. Financial advisors often recommend investing your money as a sound financial strategy. This is because you can make a lot of money with it, especially if you commit to investing your money over a long period of time because your capital then have the potential to grow at a significant rate. The nature of investments, though, makes investing a risky venture. However, as investment opportunities go, silver is predicted to be a rising commodity.
Silver is predicted to appreciate in value significantly over this decade and beyond. There are many reasons for this. One is that silver is becoming a rare precious metal. Other precious metals, such as gold, on the other hand, are in ample supply. Coupled with a rising demand in silver, the price of silver is expected to increase exponentially in a short period of time. Silver is in high demand because it is utilized in many of the products that are made all over the world. Many electronic products are made with silver. Silver jewelry is in high demand. The precious metal even has medicinal value. Therefore, it is used across many different industries. For all of these reasons, the potential return from putting your money in silver is likely to be very high.
Because silver is expected to continue to increase in value over the next few decades, if you place your money in it now, you should be able to make a significant amount of money with it in the future. Therefore, you might want to think about holding onto your silver shares for a long period of time instead of selling them after short periods of time.
Another option you have is to place your money in several silver opportunities. That way, you can hold onto some of them for a longer period of time while trading others periodically.
Why Precious Metal IRAs are Poised to Take Off
With the current world economy in an uncertain, chaotic state due to the Covid-19 outbreak, investors are searching for safe, stable investment vehicles that still offer the potential for considerable growth.
One of the most popular at the moment is the gold IRA investment. There are multiple reasons that interest in gold IRAs is growing, and anyone looking for safe growth should seriously consider starting one.
The reasons why are fairly basic. Start with stability—gold has been used as currency for thousands of years, and the gold standard has long been considered a reliable form of backing for currency in modern times.
Another reason a gold IRA is stable is due to the precious metal market. Gold is one of several metals that’s known as a so-called “crisis commodity,” which means that when world markets experience turmoil, the value of precious metals like gold almost always goes up.
As for the growth potential, consider the numbers. While the value of the dollar has been in flux for some time, the value of gold has gone up approximately 400 percent in the last two decades. There are fluctuations in the gold market occasionally, but the swings tend to be far less volatile.
Moreover, many countries peg their currency to the gold standard—Japan is just one example— and the price of gold is set by several global economic entities with high standards and an impeccable track record. These include Barclays Capital and London Gold Market Fixing, among others.
The basic parameters of a gold IRA are similar to those of other IRAs, but there are some differences that you need to know about.
These include the composition of the IRA itself. Gold IRAs consist of gold coins and gold bullion rather than CDs, stocks or other financial vehicles, which is another reason why gold IRAs tend to be more stable.
But this combination of gold coins and bullion must be held by a third party on your behalf. Moreover, they must be held in a depository that is approved by the IRS, and the gold IRA must conform to IRS rules, although the inclusion of gold will likely provide significant tax advantages.
These tax advantages are yet another reason to consider a gold IRA, along with the fact that gold tends to be resistant to inflation.
Also, you can alter the composition of the gold IRA yourself if you opt for a vehicle called the Self-Directed Gold Coins IRA after you open your gold IRA. Because the gold standard is ubiquitous, its usually easy to make this kind of physical exchange.
If you are going to go with a gold IRA, its also important that the third party you use have expertise with this kind of financial vehicle. This is relatively easy to do, as there are many banks, investment funds, credit unions, etc. that hire financial counselors with expertise in the gold market.
One of the best ways implement and use a gold IRA is to have it function as the foundation of your financial portfolio. If you have a gold IRA along with CDs, stocks and bonds, you’ll be poised to take advantage of the stability and growth potential of gold along with whatever advantages you can gain from an increasingly volatile market.
To put it as simply as possible, there really isn’t any reason not to at least consider the advantages of a gold IRA. The combination of stability and growth is hard to come by in today’s financial markets, and a gold IRA offers a unique combination of both.
[I think I covered most of the advantages of a gold IRA, but please feel free to contact me if you need anything else.]
Investing in Gems – Selling Your Collection
When it comes to investing in gems, the difference between collecting the gems and investing in them is having an exit strategy. So, when you decide that you want to turn these gemstones back into profit, there are a number of different avenues that you are going to want to pursue. Make sure that you consider all of these options that are available to you, because some can end up being more lucrative than others, and you are going to want to get the best return on your investment in order for it to benefit you fully.
For example, auction houses are typically an excellent avenue for circulation, because they make your gemstones visible to a wide variety of different buyers all at once. If you are investing in gems to turn a profit, then consigning your gemstones to an auction house is a smart idea, but you must be aware of the fact that it can be a time consuming process. It can generally take a couple of months before you begin to see profits in selling your gemstone collection, and if you have rare or unusual gemstone items, then it may take even longer for you to find the perfect buyer.
Another option is direct sales when it comes to investing in gems. You can consign single gemstones or entire collections of gems to a wholesale company or to a retailer as a great way to liquidate a portion of or all of your collection. Should you have some time to allow your gems to sit out on display or to circulate through a dealer network, then this is going to be a good option for you. It is generally going to give you an opportunity to make the kind of profits that you are looking for when selling off part or all of your gemstone collection.
If you want to benefit from the investments that you have made as well as the appreciation that has accumulated on the items is donations to museums and similar avenues. The market values can often be much more than the original investment that you made when investing in gemstones. You can exhibit your gemstones on display to gain public interest and knowledge about your collection, and about you as well. Having your name attached to these types of gems can actually benefit you significantly by adding value to your collection and establishing your connection in the gemstone world.
How to Invest in the Gold Market
There are a number of different ways that you can invest directly in a commodity, such as oil or gold for example. These tend to seem more difficult to investors in comparison to things like bonds and stocks. A major reason for why investing in gold appears to be more difficult is because bonds and stocks are both readily transferable and are easily accessible for most average investors. Traditionally, commodities such as these seem more difficult to invest in because they are traded more complexly through options and futures markets. You cannot simply buy a barrel of oil or a brick of gold in most cases, for example.
Gold is actually much more accessible to average investors, and so investing in gold may actually be a whole lot more accessible than you would normally assume. This is because as an investor you can essentially purchase gold bullion very easily, which is physical form of gold. You can sometimes buy this gold from a dealer, and other times directly from a bank. With the invention of a variety of other types of financial instruments, it has also become possible for you to buy gold and similar commodities without ever actually buying a physical product. These are all also worth considering as an investor.
One of the options that are available to you when investing is gold is ETF or Exchange Traded Funds. These replicate the movement for whatever underlying commodity you are trading in, which gives you direct exposure as an investor. Not every commodity is going to have an ETF, but gold certainly does. For example, there are ETFs traded on the NYSE or New York Stock Exchange, and you can trade them at any time throughout each trading day. Each of the shares represents part of an ounce of gold, and so you can trade in gold without actually owning any.
Despite that, it is still advantageous to consider actually buying and collecting gold. As gold increases in value, your collection will also increase in value, and then you can sell off parts of your collection when you want to earn a profit on your investments. As long as you keep your collection safe, your investment is safe. Both of these are considerations that you are going to want to make when choosing investments that are going to work with you, as one may work better than the other.
Investing in Silver Can Be a Good Choice for Many
For many who are looking to invest in something that is a bit safer than most other types of investments, but who has a good return on their money, investing in silver may be a good choice. Today silver is on the rise. Silver has been used as a form of money for thousands of years, but in today’s world, it has other uses as well. This has resulted in silver becoming a good investment opportunity for those who have taken the time to learn about the market and how to properly invest in it.
Like gold, silver is one of the few metals that are also used as a store of value. For over four thousand years, people have been using silver as a form of money in their day-to-day transactions. In fact, up until the 1960s the United States still produced some silver coins. To many investors, silver is a cheap version of gold, but fortunately this is really not the case. While it may not have the same monetary value that gold has, silver also is useful in other ways that gold is not and this helps in increasing the value of investing in silver.
In today’s highly technical world, solar industries are a big market. Silver plays a substantial part in how many solar-cell products operate. Silver is an element with the highest electrical conductivity and the highest thermal conductivity of any other type of metal. With the increase in solar-cell products, the need for silver is rapidly increasing. This makes it an ideal choice for those who are thinking of investing in silver. It differs from gold in that it is not only being valuable as a form of money, but also as product that is useful in industry as well.
Investing in silver can be done in different ways. One can purchase bars, coins or certificates. Each has their positives and negatives. It really depends on one’s situation and how much silver one will be investing in. In addition, unlike gold, there is also the option of investing in silver mining operations. While this will not increase the amount of silver one has in their possession, with the increased need for silver, mining operations are stepping up production and increasing their business. This can also be an ideal way for one to diversify their portfolio not only by investing in the silver itself, but also in the process by which it is mined. There are many ways that investing in silver can be a good choice.
A Golden Investment Opportunity
As a liquid asset, gold can be a great investment opportunity, and investing in gold can have great potential returns. There are many different investment opportunities that are available to anybody interested, though, and investing your money can be a wise financial strategy. Many people invest their money for the future in order to secure financial stability when they retire. This is because if you have no money of your own in a retirement fund, then you will have to rely on social security benefits provided by the government, which is actually in danger of disappearing due to a mounting federal deficit. Therefore, it is important to start thinking about your future ahead of time. You might find yourself in need of more money even before you retire, though, and investing your money can help with that as well.
There are many reasons to consider gold as the investment opportunity of your choice. One of the main reasons is that the value of gold stays relatively stable throughout the years. This is an important characteristic, especially in times of a recession. Other investment opportunities, such as the stock market and retirement funds fluctuate considerably and depend on the economic status. Therefore, during a recession, such as the one that we are just climbing ourselves out of, investing in the stock market and retirement funds involves high risk and financial loss is almost certain. Liquid assets like gold, on the other hand, actually tend to appreciate in value during a recession. Therefore, investing in gold can be very helpful in times like these because it is a great way to make money in times of financial instability.
However, in times of recovery after a recession, gold tends to depreciate in value. The loss is usually not considerable, though. The value of gold is still relatively stable even in times of recovery. Therefore, if you want to invest your money in something that offers more financial security, then you should consider investing in gold.
There are many different forms of gold that you can put your money in. You can invest in gold alternate commerce funds, gold bullion, gold coins, gold jewelry, and more. Therefore, there are many options that are available to you if you are thinking about investing in gold. You should research the latest gold trends to see which type of gold investments would be the best for you.
Physical Gold and Silver Vs Precious Metals Exchange Traded Funds
Legendary investor Warren Buffet once derided the idea of owning gold, strictly rely on the basis of “the greater fool theory“. As in, since gold doesn’t literally pay you, then the only way you could ever see a profit from owning it is if you were able to sell it for a higher price than the person who sold it to you. However, it only takes a pandemic to realize that there is no traditional asset class in which to hide. The dollar amount of bonds worldwide carrying negative interest rates are now in multiple trillions in what is essentially a race to hell. The beloved stock market has fallen from all-time highs to bear market in record time. Add to this the U.S. Federal Reserve bringing out their bazooka to try to stem the tide, and it certainly makes one wonder whether our betters are even good.
In times like these, people gravitate towards hard assets. Ones that can store value. Ones that are impervious to the deflationary policies of meddling bureaucrats. There seems to be an inherent human quality which recognizes that gold is imminently valuable – at least back to the ancient Egyptians.
However, there are at least two reasons why owning the physical asset is an inferior option to owning an Exchange Traded Fund (ETF) that holds the physical asset for you.
So if you elect to store physical gold, the immediate question becomes “Where?”. Will you bury it in your backyard? Mildred is always standing at the window with binoculars and will see you do it. Think you can dodge her by doing it in the cover of night? That’s why she got the dog to begin with. Will you hold it in your house? The trick becomes hiding it well enough that thieves and your nosy mother-in-law can’t find it, but not well enough that your spouse and heirs can’t. Will you hold it in a vault or safe-deposit box? Now, not only do you have to pay the storage fees (thus eating into your potential return on investment), but you have to hope that the zombie apocalypse occurs during normal business hours.
Those who advocate holding physical gold usually paint the following scenario: stores and banks are either closed or empty. The grid is down so cards and digital payments are nonfunctional. In such an environment, the fact that you have physical gold automatically moves you to the front of the line. As if any merchant in such a scenario sees the bullion, pulls out a butler’s towel and says, “Right this way, sir!”
In such a scenario, this is not how it would work at all. Despite the currency being used, the seller of the scarce product in desperate need always has the upper hand. As a result, don’t expect the seller to be aware or care what the spot price of gold is. It simply won’t matter.
ETFs > Physical Asset
As a result, it makes more sense for many people to hold their gold in ETFs. ETFs are far more liquid than their physical counterparts, and they immediately solve the problem of storage. The question then becomes “which one”?
While it may be tempting to buy a piece of a gold miners’ ETF – such as the Van Eck Vectors Gold Miners ETF (GDX) or the Sprott Junior Miners Gold ETF (SGDJ), both of these offer a significant caveat. Over and above the negative side of any sector ETF (you own the also-rans as well as the best-of-breed), gold companies are notoriously more volatile than the asset itself.
Instead, you should focus your attention on those ETFs that seek to buy and sell physical gold and mirror the spot price (less expenses). For the sake of name recognition, there’s the iShares Gold Trust (IAU), holder of 12 million ounces at an expense ratio of 0.25%. There’s the cutesy-symboled GraniteShares Gold Trust (BAR), which since August of 2017 has amassed $700 million assets under management, charging an expense ratio of 0.1749%. However, for the stingiest goldbugs, the cheapest ETF now belongs to the Aberdeen Swiss Physical Gold Shares (SGOL), who after recently lowering their expense ratio (from 0.39% to 0.17%), offers the closest possible mirror of the physical asset.