bullion coins

Keeping Your Investments in Silver Safe

If you’re wanting to purchase Silver, always ask yourself why are you buying Bullion? For what purpose? Is it for your collection or for investment purposes? Be sure you know what kind of silver you want to buy, in coin form, bar form or in paper form (stocks, ETFs, exchanges etc.) When purchasing silver, you need to know lot of things regarding Bullion.

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Here are some safe ways or steps if you want to purchase physical Bullion (coins or bars):

  • First figure out what kind of Silver Bullion you want to purchase, coins or the bars.
  • Know your budget when you purchase silver.
  • Have a safe place to store your silver.
  • Always bear in mind the current price of silver and compare the price to other dealers.
  • Go around or shop for cheapest dealers in your local area.
  • After you shop around, go to online shopping so you can compare the different prices of silver.
  • You can also purchase silver at auction or from national mints.
  • If you purchase from other dealers like jeweler or silver dealers, be sure they have reputable record.

If you want to purchase silver, the best deal you can get is the wholesale price or as close to spot price as possible. As we all know, the retail price is different from the wholesale price.

When investing in silver, most wealthy people who can afford it, pay the wholesale price rather than the retail price. They will have a larger profit when they purchase Silver Bullion at wholesale prices. Most small dealers sell silver at retail prices in order for them to have the bigger profit.

So if you are wealthy, go to the direct supplier or dealer of silver so you can get a cheaper price. The price of silver changes everyday. When there is an economic crisis, the price of silver tends to go up. Silver as an investment can be very profitable business, BUT only if you know what you are doing.

When you want to purchase Bullion for your collection, you don’t need to purchase a lot. Just be sure you know the current price of silver and do go shop around in order to get the lowest or cheapest price.

Online shopping is also convenient in time. You can go shopping through the net in your spare time. The internet is open 24/7 and you can shop through different kinds of website regarding silver and other precious metals. You can also compare the prices easily since some websites of silver dealers have the price posted on their site.

Always be alert of fraud on the internet. Be careful and be safe in shopping online. If you know of some reputable silver site, then go and have a look at their inventory.

Collecting Gold Coins

Coin collecting is something that dates back to when coins were first issued for trade. It was only in the Middle Ages that people turned this into a hobby because of the art work and the historical value.

Coin collecting today is still a hobby that many people enjoy. One of the most precious and most expensive collections that anyone can ever have are gold coins. The most expensive gold coin ever bought was worth around eight million dollars. This was the American 1933 Gold Eagle. This is why the collecting of gold coins deserves to be called the hobby of kings.

Liberty Gold CoinGold coins were one of the oldest forms of money, later followed by silver coins. Gold coins were in circulation in the United States from 1838 to 1933. The design was the Liberty Head bust made until 1907. The design was then changed to the Indian Head and Saint Gaudens motifs and was used until 1933 when the Great Depression began. This prompted the recall of gold coins which makes them very difficult to find today.

Since these coins are no longer in circulation, the price for one of them can reach quite high. Gold is also now used for other things such as jewelry or bars that people retain as an investment.

South Africa minted its first gold coin called the Krugerrand in 1967. This coin has no face value but merely stands as a symbol. It is made of 1 ounce of gold and can be purchased for investment purposes.

Since then other countries also minted bullion coins. Canada made the Gold Maple Leaf in 1979 and Australia made the Nugget in 1981. These two are much more popular than the South African coin because of its 24 carat purity.
gold-eagle

The American Eagle gold bullion series debuted in 1986. The obverse was originally designed by Augustus Saint Gaudens for the 1907-1933 $20.00 U.S. Double Eagle. The reverse features a nest of American Eagles, signifying the strength and security of American families. Its stately appearance and proud symbolism make the Gold American Eagle one of the world’s most popular gold coins.

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A lot of people retain gold today as an investment because they speculate that the demand will cause its market value to increase. Others hold it as a form of insurance should the financial situation become worse. As more paper money is printed by the FED, each of those Federal Reserve Notes looses more of its value and the value of gold and silver soars. Since the U.S. closed its gold window in 1971, the FED has produced more and more paper currency without regard to the value of gold.

Why Silver May Be A Golden Investment

Silver is a wonderful way to put your money in precious metals. This investment does not demand loads of money and you can get the strength and steadiness that comes along with precious metals.

You might want to search for dealers or firms providing online trading of silver. The online trading firm/dealer must have a functionally simple website and the web pages must be promptly downloaded. You can inform the online trading dealer the amount of silver bullion you want to purchase. silver barBullion is the basic product traded in the precious metals market. The unit involved is ounces. You can buy small bars of bullion by one ounce or bigger size bars at 10-15 ounces per bar depending on their size. The online dealer buys the silver and ships it to your destination.

Many dealers in online trading also handle deals that involve large transactions. You can do silver trade with them only if you can invest a good amount of money. By adding precious metals particularly silver to your investment portfolio of stocks, mutual funds etc, an investor can add a real asset to the his investment mix. This enhances the diversification scale, thus reducing the risks caused by fluctuations in any asset kind.

Silver is the most abundant and most inexpensive of the precious metals. Silver is very malleable, corrosion resistant, good reflector of light and is matchless conductors of heat and electricity. Silver plays an important part in your financial planning, as it is an effective investment for an average investor.

Silver has striking demand embedded in segments as varied as imaging, nanotechnology, electronics, jewelry, coins, superconductivity and water purification. Thus, silver has crossed the mark of a precious metal but is now an artistic metal and an industrial metal. Silver is vital metal that helps to improve the quality of our lives.

The value of silver may fluctuate but it has an inherent value that is unchallengeable and enduring. Moreover, between 1970 and 1980, the U.S. dollar lost more than half of its value, while silver prices rose nearly five times.  The economic factors that influence the price of precious metals are different from the factors that decide the price of other most common financial assets. Thus the independent change of precious metals graphs reduces overall volatility of the portfolio and maintains balance.

The dollar is declining and its acquisition power has gradually weakened over time and is anticipated to continue to do so. Thus the rise in online trading of silver can generally impart a hedge against inflation. As the economies swing between prices rises, recession and extension, the silver metals prove to be a sound investment. Many experts of investment believe that 15-20% of assets must be secured in silver investment.

Online trading of silver also gives you a sense of possession as you have the ownership or unswerving charge of their assets as purchasing physical bullion has a good focus. Online trading commissions on buying and selling bullion are minimal. Moreover, silver bullion bars are highly liquid in online transactions.

So don’t loose the golden chance in online trading opportunities of silver investment, as it’ll yield high returns.

Coin Values

So, you’ve got some silver great coins?  You’ve been collecting coins for a few years right now, and you have amassed a good selection of Buffalo coins, some bullion coins, a few error coins, along with a whole bunch of Morgan and Peace dollars.

Are you aware of what your collection will probably be worth?  What it’s gold and silver coin values are?  What it’s worth is to other coin enthusiasts?

Gold and silver coins are actually used as currency for a lot of years.  The very first acknowledged coins were first made about 700 B.C.  That’s eons ago!  Still, we have need of precious metal coins, as well as a need to collect them.

You see, even in today’s society where we exchange paper currency for products and services…  Silver and gold is still a real trading commodity.  The truth is, once when our paper currency have been just gold and silver certificates backed by authorities and finance institutions.

These days we don’t mint many coins in gold and silver, and the coins we do mint in silver, gold, palladium and platinum are generally gathered for his or her numismatic coin values instead of exchanged for products or services.

Instead of using a silver coin to buy a Coca-Cola…  You would use a modern-day quarter made from copper and nickel, and you also would save your valuable silver coins for a longer term expense.

But how can you confirm your coin’s value?  Coin values vary greatly!  And first thing which assists to figure out your rare metal coin values is the economy.

When the economy is doing good, then, the price of the dollar to the cost of precious metals is less.  Even so, when the economy is going through tough times, such as a recession, coin worth will rise in cost as the spot cost of precious metals rise in price regarding the dollar.

Thus, many people choose to sell their bullion coins throughout tough economy periods.  This means you’ll have an abundance of coins to include in your gold or silver portfolio.

Though the spot value of silver or gold is not the just aspect in finding out coin values.

As an illustration, coin worth depends on whether or not a coin is certified or not.  If a silver coin is licensed by a respected company and rated for it’s perfection, then, it requires a greater premium over uncertified coins.

One example is a PCGS certified 2000 American Silver Eagle that is graded MS70.  This coin could be worth more to a coin hobbyist than both a lesser graded Silver Eagle, or even a Brilliant Uncirculated Silver Eagle.

Another determining factor of coin worth is the supply available and the demand for that supply.  It’s business 101!

Here’s an illustration.  Not long ago on eBay a 2002 American Silver Eagle certified to become MS70 along with a First Strike edition bought for $9,000.  Right now, the spot expense of silver was just about $35 during the time, but this coin exceeded WAY beyond that.  Why?

Well, due to the fact there have been only 17 coins that year chosen as First Strike by NGC and graded MS70.  The supply was minimal BUT demand was great!

As mentioned earlier, there are various reasons to figure out your coin values, but if you do a little research into what are the spot value of your precious metal is And discover the quality of your coins…  Then, you’ll have greater comprehension of it’s value.

Assessing the Benefits in Silver Coin Collecting

We’ve seen over the past five years the collapse and near collapse of financial giants and companies considered too big to fail. Because of this, many people are looking for alternative investment opportunities and quite a number have considered silver coin collecting as possibility. If you are one of the many people who want to try collecting silver coins for profit, there are several things to consider ensuring your efforts will pay off.

Silver Bullion Coins

If you are seriously considering silver coins as part of your investment portfolio, you need to first of all decide if you want to collect silver bullion coins or if you want to buy silver coins that were minted and circulated as legal tender.

Silver bullion coins are generally made of 99.9 percent silver except for the British silver Britannia which has a silver content of 95.8 per cent. Normally, the face value of a silver bullion coin is lower than its actual market value. For example, the Canadian Silver Leaf is a one Troy once silver bullion coin with a face value of five dollars and a market value of over thirty dollars based on the market price of silver.

Silver bullion coins provide good protection against any economic meltdown, but if you are expecting spectacular profits from investing in this coin, you will be disappointed. Financial gains with this particular investment only happen over the course of time, when the bullion coins in your safety deposit box rise in value in consonance with the price of silver.

Investment Coins

Apart from silver bullion coins, you can also go for the other type of silver coins which are sometimes referred to as investment coins. Generally, these are coins are made of at least 90 per cent silver and are, or have been, a legal tender in their country of origin.

In the past five to ten years, increasing silver prices have made these coins a popular choice for collectors. On one hand, there is always a chance to one day sell currency coins for a big margin of profit, but on the other hand, there are bigger risks in this direction because factors such as demand and popularity enter the picture.

On the plus side, silver is cheaper than gold so it is possible to begin acquiring a silver coin collection without breaking the bank. American silver coins that are not categorized as rare have a prize range of two to twenty dollars.

What to Keep in Mind

There are certain things to keep in mind to keep your money safe as you go about silver coin collecting.

  • Always do your research before you make a purchase. If a coin is worth a lot of money, look for official authentication. Find out if the coin has maintained good value over time.
  • Go for high quality coins which are more certain to appreciate in value than oddities. Double check quality and grade by using reliable resources like the official Red Book.
  • Keep clear of TV or internet bargains. Remember that if anything sounds too good to be true, it usually is.
  • Provide good storage for your collection. Good storage does not mean a shoebox hidden away in your closet or in your file cabinet. Get a safety deposit box.
  • If you want to go about silver coin collecting as an investment, be ready to sell when the price is right.

Many resources say that the outlook for silver is good and that the annual demand for this metal exceeds the supply, Moreover with the current economic situation, more and more people are becoming interested in using this metal as a way of keeping their money safe. The side effect of this increased demand would be to further drive prices of silver up, making it a good investment today. However, even with these rosy predictions, it is good to practice due diligence and caution. This way, although you may not make a killing in your investments, you will be better assured of both profit and protection in silver coin collecting.