The consequences of the last financial crisis and the market fluctuations have made investors seeking new ways to invest and grow their wealth. Precious metals are a nice solution to the problem and silver is a metal that seasoned investors prefer to invest in. Silver, palladium and platinum hide many opportunities if someone has the required knowledge to invest his money wisely.
A survey published by an asset management firm some months ago showed that investors expect an average market return of 7.0% over the next five years. But as market dynamics have shifted, it is unlikely that a typical 60/40 portfolio can deliver the same rate of returns that investors have enjoyed over the past decades. Interest rates have been decreasing steadily since the 1980s, but after the financial crisis, the pace has accelerated. In a low yield environment where a balanced portfolio of fixed income produces annual returns of 3%-4%, the equity component would need to produce returns of approximately 9% to achieve a total portfolio return of 7%.
Through buying real bullion rings, a traditional way of investing in silver is. Bullion bars can be bought or sold on the counter at major banks in some countries, such as Switzerland and Liechtenstein. The smooth, rectangular shape of silver bars makes them ideal for storage with a bank or dealer in a home safe, a safe deposit box, or in designated (also called non-fungible) or unallocated (fungible or pooled) space. Silver is traded with the acronym “XAG” on the spot market. Silver exchange-traded products represent a quick and easy way for an investor to gain exposure to the silver price, without the inconvenience of storing physical bars.
Investors may hold a silver certificate of ownership instead of storing the actual silver bullion. Silver certificates allow investors to purchase and sell the security without the difficulties of transferring the actual physical silver. The Perth Mint Certificate Program (PMCP) is the world’s only silver certificate program that is guaranteed by the government. Many Swiss banks offer silver accounts where silver can be purchased or sold instantly as any foreign currency. In addition to carrying actual silver, the consumer has a claim against the bank for a certain amount of metal. Virtual gold coin and web bullion exchanges like OneGold, BullionVault or GoldMoney sell silver as an alternative to gold. By distributing tangible silver, some of these companies allow investors to redeem their investment.
If you would like to invest in silver, there are many options to match each budget need. Taking advantage of this investment opportunity may mean profits for you and growing your wealth means that you will be able to fulfil your dreams quicker and easier than you thought.