Live Spot Pricing 24 Hours A Day
Bullion | 07.25.2016

Seven Reasons to Buy Silver Now!

Governments are carrying huge debt loads. Social unrest threatens us both at home and abroad. Our political races this year are even more acrimonious than usual. As an investor, you need to consider ways to protect your assets. Paper money is losing value as currencies are stressed, and government printing presses around the world continue to flood the market with currency. Stocks and bonds are paper assets whose value can fluctuate greatly depending on a number of factors like corporate earnings or interest rates.

Diversification is a strategy that can spread your assets over several classes and offer some stability in a volatile world and a volatile market. One asset class that is proven to offer some protection against volatility in the markets is precious metals.

Right now is a great time to buy silver. Silver is affordable, liquid, and available. Commonly purchased as one-ounce coins or rounds, silver is also available in multiple ounce bars and 90% silver coinage bags. Let’s look at seven reasons why now is a great time to add some silver to your asset portfolio.

1. Silver Is “Real” Money

Silver is a tangible asset whose value has never been zero. Paper assets can collapse and become worthless. Silver acts as a store of value with the potential for substantial gain. Silver has many uses in industry and the current price is below the cost of production. Anytime an asset falls below the price of production, it is a buy.

2. Affordability

At the current price, silver should be considered as a long-term buying opportunity. Dollar-cost averaging is affordable and allows you to develop a substantial holding over a relatively short period of time by making regular fixed weekly or monthly purchases.

3. Insurance Against Monetary Policy

Since the economy tanked in 2008, the Fed and other world governments have a relaxed monetary policy through a series of quantitative easing actions. In essence, governments around the world have been printing money to try to re-inflate and stimulate the economy.  Throughout history, these periods of printing have often been followed by periods of inflation or even hyperinflation. Currently for example, as a result of flawed economic policy, Venezuela is experiencing hyperinflation and commodity shortages.

In times of economic uncertainty, precious metals tend to outperform all other assets. During the last bull run in metals, silver was by far the best performer in the sector.

4. Heavy Industrial and Medical Demand

70% of silver inventory is used annually for industrial and medical applications. There are literally hundreds of industrial and medical uses for the metal and use is growing. Silver is extremely beneficial for use in medical applications due to its anti-microbial properties. In addition, because it’s the most electronically and thermally conductive metal, its use in the past twenty years has exploded as an array of electronic and digital products like cell phones, cameras, laptops, mirrors, and monitors (which all use trace amounts of silver) have come to market. Once it’s used in these products, it is effectively removed from stockpiles never to return. As the information age continues, silver use will only increase in the coming years.

5.  Shrinking Stockpiles

The above-ground supply of silver has been shrinking steadily and this is unique among virtually all industrial metals. Demand has exploded and production cannot keep up. Demand in 2012 was about 880 million ounces per year with annual worldwide mine production at 760 million. Scrap silver has been making up the difference but as industrial use continues to grow, production will not be able to meet demand.

6. Supply Uncertainty

Today, the majority of silver is mined in countries with unstable political systems, under-developed infrastructure, and labor unrest. The top two producers are Mexico and Peru. Both have fragile political systems and infrastructure unable to support increased production. The number six producer, Bolivia, recently nationalized the mines which will put strains on supply.

In both China and India, the populations have shown a huge appetite for gold and silver. As more citizens have reached the middle class, demand has continued to grow in both of these countries. In addition, as these economies mature, demand for consumer electronics and appliances, which use silver, will continue to grow in emerging markets.

7.  Gold to Silver Ratio

One major buying indicator for silver is the price ratio between gold and silver. While this ratio does frequently change, it has always returned to the historical average of 12 to 1, or the price of 12 ounces of silver is equal to the price of one ounce of gold. The current gold to silver ratio is in excess of 70 to 1.  The current price of silver makes it one of the most currently undervalued assets on the market today.

Buy Silver Online

Find A Reputable Dealer

The best way to invest in silver is to work with a reputable dealer. Silver prices change daily. A reliable dealer will be able to sell you silver at the daily spot price, plus a slight premium. When the time comes to sell, this same dealer will buy at spot plus a slight seller fee.

A reputable dealer can help you set up a systemized investment plan, allowing you to build a position over time. The dealer will deliver your metal to your home. It’s important to take physical possession of your silver. A good dealer can also advise you on how to set up a precious metals IRA for your holdings.

Silver is an excellent way to diversify and protect your asset holdings in an increasingly uncertain world. It is portable, affordable, and liquid. From a purely industrial standpoint prices should rise as supplies dwindle and demand increases. At its current price silver is a great value investment with a lot of room to the upside. Now is definitely a great time to buy silver!

If you are interested in buying or selling silver, contact U.S. Coins and Jewelry, Houston's most trusted source, at 8435 Katy Freeway in Houston or call 713-597-6367.



Ten Reasons People Collect Coins, Medals And Tokens An old rare coin adage goes, “People are like crows, they like things big and shiny.” I don’t know a lot about corvid habits, but I have met literally thousands of collectors. Take my word for it, humans do like shiny objects. Every collector approaches the hobby with an individual slant. Most fall into predictable collecting patterns or follow distinct blue prints. And some wi
Building A Twentieth Century Type Set The twentieth century was one of great change for the United States. In 1899 the US was a budding world power. By 1999, we were the world leader. The century saw many changes, and through these exciting times, rare coins evolved along with our great nation. To begin the century, President Theodore Roosevelt pushed a redesign of all the circulating coinage. At the time this was called his “pe
Understanding Silver Bullion And Building Wealth In the wake of the national news about #silversqueeze there is a lot of hype surrounding the precious metals market. This investment arena has always been volatile and unpredictable, but we believe in a sound strategy of accumulation will build wealth. We would never suggest an all eggs in one basket approach, but a well-rounded portfolio would be lacking if it wasn’t positioned in tangible
The Modern Coin Collector Tool Kit Modern rare coin enthusiasts have the luxury of a huge online numismatic community that has blossomed over the last decade. In this new century armed with little more than a laptop and a loupe, collectors will have what they need to dive headlong into the deep waters of coin collecting. A collector needs a few simple tools to effectively make purchases and fully enjoy their new treasures. At U.S.



We share educational articles, specials, and general updates. Be the first to be in the know. 

US Coins hosted my son's BSA Scout Troop to help them work towards earning their Coin Collecting merit badge. They were very helpful and willing to answer all of the questions that they had. My son wanted to get as much written down on his worksheet as possible before leaving, and Ms. Johns was kind enough to sit down with him and go through the remaining requirements that did not involve actually building a collection. A lot of us parents looked at buying US Mint Proof Sets for our Scouts, and their prices were very good. Thank you to US Coins for being great community members!
Andrew Wong