4 things to know before investing in silver bullion
Silver bullion is one of the most stable investments preferred by the most seasoned investor. This is because bullion is considered as a stable option in the ever-fluctuating financial environment. An investment in silver bullion can be a prudent decision for preserving as well as increasing the value of your wealth and investment portfolio.
However, investing in silver is easier said than done. You need to carefully research and investigate the various aspects of silver bullion including purity content, the value of the bullion and the source from where you will be buying.
Reason to buy silver bullion: Silver has been one of the most versatile precious metals. In the commodities market, it is apparently the second-most popular option. Although the price of silver bullion changes every day, it not as volatile as other investment options. Also, when the value of paper currency drops, silver bullion can be a solid fallback option for investors.
Types of silver bullion to invest in: Experiences investors and speculators buy silver in various forms that include silver bars, bullion coins, numismatics coins (collectors’ coins), ingots and ‘paper’ silver. For the generic investor, American Silver Eagle is the best and safest option. Produced by the U.S. Mint, this coin is the global standard for silver bullion coins. These coins are usually sold in tubes called Silver Eagle Mint Tubes; one tube has 20 American Silver Eagle coins. These are also available in a monster box, which holds about 500 silver bullion coins each weighing one ounce.
Where to buy silver bullion from : One of the best places to buy silver bullion coins is from a bank. Another option is to buy from authorized dealers. A point to note here is the banks charge lesser markup prices for bullion. A dealer will always want a bigger profit margin, so you will have to pay more if you buy from a dealer. Make sure that you consult a financial advisor before you decide to invest in silver bullion from sources other than an authorized bank.
Taking the delivery: If you decide to buy silver bullion from other sources and not from a bank, make sure that you personally receive the delivery of your valuable investment. Do not trust sellers and dealers who promise delivery at a later date or say that the coins will be delivered to a secured facility or account.