Silver has been considered as a form of money for more than 400 years until the silver standard was abrogated in 1935 where it ceased being used as a legal tender. Silver in today’s world is usually demanded by industries, to be worn as jewellery, to invest in the form of bullions and ETFs.

The reason for it still being in demand even after centuries is because it’s tangible hence offers liquidity and protection and it’s less expensive than gold and offers more returns. COMEX and The London Bullion Market Association (LBMA) are the exchanges where the majority of the silver in the world is bought and sold.

We will now discuss popular investment options for physical silver ownership

SILVER BULLION BARS

Silver bullions bars come in a variety of shapes and sizes varying from 1g to 5 kgs and they’re usually 99.999% pure silver. They’re usually manufactured as either poured bars or minted bars.

  • Poured bars: They’re manufactured when silver is molted and poured in molds
  • Minted/Pressed bars: They’re designed like coins and they’re are made from bar stock. Manufacturing pressed/minted bars is comparatively convenient and quicker than making poured bars. The rustier they look the more their demand sometimes tends to rise.

Except for The Royal Mint of Canada and the Australian Perth Mint, all silver bars that are out there in the market are manufactured by private refineries. PAMP Suisse, Johnson Matthey, and bullions made by Governments are few of the brands that make bars that provide investors a higher premium. There are generic silver bars in the market as well but they’re minted by private or small-scale mints.

Silver is a popular choice for investors as it is low cost and often volatile during times of crisis, it is not uncommon for silver bullion bar prices to double or even triple during crisis type global events. Often when gold reaches all time high prices, silver normally rapidly follows around 1 to 2 months later, for this reason buying silver is a popular investment choice. For the current price of silver bullion bars you can visit the Gold News Australia website.

SILVER BULLION COINS

These coins are acquired either by passionate collectors or for investment purposes. They’re minted usually by governments. The first-ever silver bullion coin in the world was made in 1949 in Mexico. Silver bullion coins in today’s day and time are usually 99.99% pure silver. These coins generally way around 31g i.e. 1 oz. this makes it easier to keep track of them as the number of coins owned by an investor equals the same number of ounces. The most eminent silver bullion coin is a coin minted by the US minted, it is known as the American Silver Eagle. Some other famous silver bullion coins are Canadian Silver Maple Leaf, Chinese Silver Panda, British Silver Britannia, Australian Silver Philharmonic, and The South African Silver Krugerrand.

SILVER BULLION ROUNDS

Another tangible investment option in silver is Bullion rounds may appear to be like silver bullion coins but inherently they’re quite different from them. Silver bullion rounds can be thought of as silver bars with the shape of coins or discs. Bullion Rounds are not minted by governments but by private mints.

If compared to silver bullion coins, bullion bars provide a lesser premium, they’re minted in large quantities with multiple designs, more appropriate for commemorative purposes and they have a lesser resale value. The most well-known silver bullion rounds are the “Recreations of classic coin designs”. Bullion rounds usually weigh around 1 troy oz. and are 99.9% pure silver.

Leave a Reply

Your email address will not be published.