If you’re about to use your savings for an investment, you should know that you have a lot of options. Some of them are riskier and others are more playing safe. Investing in gold and in silver, both go under the category playing safe.
If you’re asking yourself why, here’s the answer. Gold and silver are both precious metals that don’t have too big fluctuations on the market. The price of both can go up or down a yearly level with little difference and you can be sure that even if you have to sell your stack, you won’t lose much. Learn more about how in the past gold was used as a paying method here.
Of course, it also means that you won’t profit much either. When it comes to the difference between gold and silver you should know that gold is much more expensive than silver, but this doesn’t mean it’s a better investment. Here are our thoughts on the subject in addition.
Why invest in gold
As we already mentioned, gold is a very stable investment. People invest in gold to protect their money because gold is rarely affected by economic and social turbulence in society. Currencies can significantly drop in value, but gold is gold and its price doesn’t get affected by this.
Gold is an expensive precious metal. At the moment, its price is around $1300 for an ounce. This means that people who own a lot of money and want to be sure that inflation won’t destroy their value, turn it into gold. A lot of money can be turned into fairly little gold. No matter if it’s coins or bars, physically, you can place in the safe millions of dollars worth of gold.
Gold bars vs gold coins
If you like investing in gold you probably wonder which is better, coins or bars. The answer to this question depends on what are your purposes. People who want to invest a lot of money should by gold bars. They are easy to store and transfer.
Gold coins, on the other hand, might have more value than bars. This happens for two reasons – collectors appreciate them more and pay more for them, and because of the historic value. Some coins that date a long time ago are very rare and have a significant historical value. Even if the date of the minting is less than 100 years, some coins can still be very worthy because of different reasons.
Why invest in silver
Silver, like gold, don’t make huge market fluctuations. The main difference is that silver is way less expensive than gold. People like to invest in silver because they can afford to buy more of it. For example, an ounce of gold is over a thousand dollars. An ounce of silver is just $15. Not everyone is able to save tens of thousands of dollars during their lifetime, but even those that saved a couple of hundred dollars deserve to invest them in precious metals.
Silver bars vs silver coins
Similar to the story with the gold, silver coins have numismatic value. The historical and the rarity moment play a very important role and many silver coins have an enormous value even though the amount of material used inside isn’t even close to the price on the market. For example, the most expensive coin ever sold in the world is a silver one. It was sold in 2013 for $10 million.
The silver bars for sale, on the other hand, are better for those that are expecting the value of silver to go up soon. Also, silver is used widely in all industries. Unlike gold, silver is used daily for many purposes and as of the beginning of this decade mines all over the world are producing less and less new silver.
The final decision depends on your needs and expectations. If you have a lot of money that you want to be protected, invest in gold bars. If you want to trade often and with small amounts go with silver coins. Look for ones that are older and well preserved. Also, be careful with buying. There are lots of imitations that look exactly like the originals.