In the midst of the financial crisis, countries, banks, investors, institutions and average people seek refuge for their money either in banks or in stocks or in physical gold and silver.
Many beginners and experienced investors spend a lot of time deciding between buying silver bullion or gold. While both metals are very popular investments, silver is a different beast from gold. Silver is not VAT-exempt (like gold), but due to fluctuations in the price of silver on the market, it is able to reap large profits. Therefore, owning both offers the stability of gold and the potential for making silver money.
The price of silver is influenced by both commercial and investment demand. Many gold investors are choosing to diversify their gold investment with silver, as this enables them to reap the benefits of larger price spikes.
Silver has a much broader application than gold, and as a result its demand far exceeds the quantities offered. Since the 1990s, there has been a steady and growing deficit in silver production. Its yields are not sufficient to satisfy the increasing demand. In all likelihood, this trend will continue in the future, given the increasing consumption of metal combined with its limited quantities. It is a well-known rule in the economy that when demand for an asset exceeds its supply, it leads to its appreciation.
Silver is versatile. On the one hand, it is perceived as an investment that preserves the value of money over time, but at the same time it is an important industrial material due to its high electrical conductivity, which is essential for many industries. From silver and its alloys are made coins, medals, batteries, mirrors, workshops, photographic plates and films, electronic components, optical elements, batteries. There is silver in every car, TV, refrigerator, cell phone, laptop, batteries. Silver is also used extensively in medicine. Considering the fact that silver is non-recoverable, its daily use in the industry reduces the quantities available.
In our opinion, the best way to invest is in physical and real silver. As an old saying goes: "If you don't hold it, you don't own it."
The benefits of physical silver are great, as opposed to buying electronic silver or paper. Physical silver is an eternal asset that will always have value and always stand the test of time. It provides you with ultimate control and insurance for your wealth against a financial crisis in a less developing economy.