Individuals have been investing in silver for over 4,000 years. It is highly regarded as a solid investment worth storing, in spite of the fact that the silver standard ended in exchange for the gold standard during the 1800s and the early 1900s.
In the State of Utah in the United States, silver is considered as legal tender. The conclusion of the silver standard only affected silver’s use as a legal tender. Till this day, millions of pieces of silver—coinage and bars—are invested in by investors throughout the world.
There are two general types of silver bars—bullion bars and artsy bars. The bullion bar may sell at or above the spot price of silver whereas it may later resell at below the spot price. Bullion silver bars are available in various shapes and usually consist of .995 and above silver purity.
Artistic bars are poured into the shape of easy-to-stack bars with intricately designed fancy imagery to attract collectors.
However, when investing in the design of the silver bar, consider that you’ll pay a higher premium for the design, which decreases your value. If you spend more on a heavier piece of silver purity, you’ll increase your value later.
Advantages to Silver Bars
One advantage to investing in silver bars is that you’re able to purchase them through a private mint dealer. When investing privately, you’ll likely pay a lower premium. However, you’ll want to feel confident in the honest and reliable reputation of the dealer you invest with.
Larger silver bars above 5 oz, feature the lowest premium of all. But, again, they’re difficult to store. Additionally, when investing in silver bars of the same size, it’s easy to store them, because they’re stackable.
Another advantage is that you can just as easily invest in secondhand silver bars. When bought through a reputable dealer, authenticity is not a question. The dealer inspects and weighs all of its silver prior to release for resale. And, lastly, they’re highly-investable. There are several ways to invest in this type of silver.
You can purchase 5 oz silver bars from manufacturers throughout the world. A few manufacturers include Silvertowne, APMEX, Sunshine Mining, U.S. Assay, Engelhard, and Johnson Matthey. When investing in silver bars from any one of these manufacturers, you can expect a hallmark stamp to confirm the silver bar’s authenticity.
When investing, you have a few options. You could invest in a silver account, silver exchange-traded funds (ETFs), silver mining stocks, IRAs, and/or silver certificates. If you’d rather not worry about physically storing silver, these might be options to consider.
When storing this type of silver, you may wish to consider storage at your bank for security reasons. With that said, please note that “safe deposit boxes” in the U.S. are not FDIC insured and many people consider this option “dangerous.” If you’d rather store it on your property, or in your home, consider a highly-secure safe tucked away in a secretive storage place within the home.
Depending on the types of silver bars you’re interested in investing in, you could store the stackable pieces at the bank and larger pieces at home in your secret storage place. A safe is a smart solution when storing anything of value.
They’re next to impossible for an intruder to move or to get into. It will also keep your valuables safe in the event of a natural disaster, etc. Another option to consider is a precious metals depository. This option is ideal for silver pieces of any size. These facilities are not only highly-secure and more spacious for your precious metals, but they’re also climate controlled.