If you’re getting ready to invest in precious metals, you might want to buy silver bars. There are lots of reasons to invest in silver instead of gold or platinum, and there are a couple of reasons to buy bars rather than coins. This isn’t to say that gold, platinum, and bullion coins don’t also have their good points, too. The types of metals and products you invest in will depend on your goals. However, here are some reasons you may want to consider buying silver bars.
For one thing, silver is cheaper than either gold or platinum. With the price of gold at over $1,000 an ounce right now, it is impossible for some small-time investors to put any money into it at all. Much of the time, you have to buy a roll of coins that puts you in the $5,000 or $10,000 range! If you want to simply invest a little bit at a time in precious metals, gold may be out of the question for you.
Silver, on the other hand, is very affordable. Even a roll of twenty coins or a ten-ounce bar isn’t going to be all that expensive. You can end up with several ounces of silver on your hands without having to invest a small fortune.
Also, though, your profit margins for silver could be larger. Many experts are predicting that silver is going to outperform gold in the next few months and years. There are many reasons for this. Among them are the facts that silver is now being used in many industrial applications and that the silver supply in the world seems to be slowing down little by little. As demand goes up and supply goes down, the price of silver is going to increase, giving you a better margin for your investment.
There are a couple of reasons that buying bars can be better than buying bullion coins, as well. The main reason is that bars are often going to give you a better price per ounce on your investment. Essentially, bars are easier to make than coins, and ounce-for-ounce, they come with a lower markup.
When you’re talking about a ten ounce bar and a one ounce coin, the savings might not be all that significant. If you get into the larger bars, though, you may divide things out and find that your price per ounce difference is a lot better with bars than it is with coins. And since silver is so affordable, you actually can purchase a larger bar without spending a small fortune.
Depending on your needs and goals, bars may also be easier to handle. If you don’t want a bunch of silver pieces, then a bar is the way to go. You can store it easily in your home or have it shipped to a precious metals vault. Either way, a bar makes you sure that your entire investment is together in one spot so that it doesn’t get misplaced.