Guide To Buying Silver Bullion
The rest of this guide discusses the pros and cons of holding precious metals in the form of 1) physical gold and silver, 2) ETFs and options, or 3) miners and streaming/royalty companies, and explains how to approach gold and silver valuation.
guide to buying silver bullion
The exception to this is the Sprott collection of funds and the Perth Mint gold fund. These funds store their metals entirely in physical allocated bullion and are redeemable for gold and silver. These are safer to buy and hold.
When everyone else was buying wildly overvalued tech stocks during the Dotcom Bubble, Buffett was instead buying cheap things like value stocks and silver. Berkshire officially stated that the reason for the purchase was that due to the supply and demand characteristics of silver, they expected it to appreciate in price. In other words, they correctly thought it was undervalued.
SilverGoldBull.com provides you with competitive, up-to-minute pricing and we make sure your precious metals are delivered to your door discreetly and fully insured. SilverGold Bull's in-house customer service representatives will work to assure your satisfaction in a timely, friendly, and professional manner. Never hesitate to get in touch - building relationships with our clients is our number one priority. If you would like to learn more about what our customers are saying about our service, please view our customer reviews (below).SilverGoldBull has tens of thousands of satisfied customers who have taken their financial future into their own hands by investing in gold and silver. This bullion dealer is based in Canada and offers a wide variety of precious metals bullion for you to choose from, their commitment to you is to provide extraordinary service throughout your bullion buying experience.
Pure gold and silver coins, cast and minted bars come in varying sizes and purchase options to suit different budgets, though with this option investors need to ensure they have sufficient insurance and security if they plan on storing the bullion at home. Alternatively, investors can opt to buy, sell and store your high value precious metals in secure vaults if buying from a reputable mint.
You can buy silver bars from well-known and respected private dealers such as JM Bullion, SD Bullion and APmex and from government mints. You can also buy silver bars from secondary online markets and forums that connect buyers and sellers, though caution is advised when buying directly from individual sellers due to the risk of fraud or overpricing.
You can buy silver in a number of ways: ETFs, silver stocks, or physical silver bullion in the form of bars, coins or rounds. Investing in ETFs lets you avoid the high premium costs and fees associated with bullion storage. If you're an avid collector, you can buy physical silver online through a variety of exchanges, brokerages and marketplaces; however, it's important to only deal with well-established reputable sources.
The idea of owning silver bullion, a tangible asset, might be very appealing to many investors and collectors. For investment purposes, you should buy fine silver which has a purity standard of 99.9%, as the price of silver bullion is based on the precious metal content rather than a fluctuating spot price, or current market price, determined by a third party.
As always, be sure to protect yourself against fraud. The Commodity Futures Trading Commision (CFTC) has brought fraud charges against some silver dealers for charging excessively high premiums, fees, and loan interests, or for selling non-existent bullion and executing scams such as ponzi schemes involving silver bullion trading.
The American Silver Eagle is the official silver bullion coin of the United States of America. It was first released by the United States Mint in 1986 following the passing of the Liberty Coin Act of 1985. The coin is struck only in the one-troy ounce size, which has a face value of $1 and is guaranteed to contain one troy ounce of 99.9% pure silver. Its content, weight, and purity are certified by the United States Mint and the value is backed by the United States Government. In addition to the bullion version, the United States Mint has produced a proof version and an uncirculated version for coin collectors. This can be a bit confusing since the bullion version is also technically "Uncirculated" or "Never been circulated" condition. The chief distinction is the bullion coins are not offered by the US Mint, only authorized distributors. The US Mint issued uncirculated coins have a mint mark depicting where they are created and the bullion versions have no mint mark. Silver Eagles have been produced at three mints: the Philadelphia Mint, the San Francisco Mint, and the West Point Mint.
Casual investors looking for a recommendation on what type of silver to buy will often hear the same answer from a typical coin dealer, that being, "well Morgan Dollars, of course." But sadly, accumulating these historic U.S. silver bullion coins often ends up being a big mistake.
Investors want to know how to invest in gold or silver bullion and who are wrangling over whether to invest in the metal itself or in gold and silver mining stocks should realize that they are two entirely separate asset classes.
1. Do I want to buy physical silver?Or do I want to invest in proxies that represent silver value? Many institutional investors prefer to buy silver in stocks or ETFs (electronically traded funds). These offer several options, such as adjusting how much you are betting on silver. However, they expose you to risks in management, recurring fees, and ironically for some silver investors, long-term trust in the financial system. Buying physical silver is often regarded as an affordable and risk-averse strategy. It focuses on silver's intrinsic value over time, as opposed to a series of complex metrics. Most physical silver investors choose bullion as the best way to buy silver. Many choose to insure and vault it with a secure third party, and others choose to store it at home.
2. Do I want to be an investor or a collector?What is my end goal?Investors look for the best deals. They want to find trustworthy dealers and the best value (i.e. the lowest premiums above spot) for accredited silver. They see the best way to buy silver as any kind of silver product that will maximize short- and long-term profits, and one easy way is to minimizing costs. Investors just starting out might look at products such as the Republic Metals 1 oz Silver Bar. Collectors focus more strategically on buying rare coins that they believe will provide aesthetic, collectible, and personal value. Often, they purchase pieces with higher premiums over spot. Collectors may also purchase antique and rare coins, generally referred to as numismatic coins.
Another way to buy gold and silver coins is to buy it directly from the Royal Mint. If you choose to buy non-UK bullion, there are other reputed mints in the world, like the Perth Mint in Australia, from where you may be able to purchase your bullion online through their websites. However, you may end up paying more for packaging and processing costs. Many reputed mints will also try to sell you proof coins. These are more polished and better looking and attract higher prices due to their finish. However, you must bear in mind that the gold and silver content remains the same. So, you are unlikely to receive a higher price at the time of selling, simply because they are proof coins. If your objective is to maximise your gains, you may be better off picking the right bargains from the secondary market through a dealer.
The economic crisis of the post-pandemic era has already started unfolding through the first half of 2020. Many investors are moving to precious metals in order to hedge their risks. If you are thinking of buying bullion, call us directly on (020) 7060 9992, to discuss your investments. We are certain you can benefit from the right advice. You may also reach our investment team through our website.
Delivery of Silver Coins and BarsSome U.S. based clients prefer personal possession of their silver coins and bars these clients take delivery of their silver bullion. Popular silver bullion products we deliver throughout the U.S. range from the American Silver Eagles (1 ounce) and Canadian Silver Maple Leaves (1 ounce), through to 100 ounce silver bars and up to the 1000 ounce industry standard silver bar.
The rules on precious metals eligibility are governed by IRS tax rules, which allow certain precious metals coins and bars as eligible investments. This includes gold, silver, and platinum coins issued by the U.S. Mint, precious metals coins issued by other countries, and additionally, gold, silver, platinum and palladium bullion of investment grade quality. 041b061a72