For longer than any of us have been alive, silver and gold prices have been closely tied together. In fact, there was a United States law that was put in place back in 1792 that fixed the gold to silver ratio at 1:15. What that means, in short, is that one troy ounce of gold would buy fifteen troy ounces of silver. While gold may get more attention and be more psychologically attractive, silver prices have been keeping pace and in some cases surpassing the growth of gold over the years.
There is simply no denying that gold is a good investment, but anyone who doubts the value of silver need only look to the Holy Bible to see that it has been used as an exchange medium since the ancient days as described in the very first book of the Old Testament (Genesis 23:16). Still, gold prices are fairly high and as such may be out of reach for the average investor while silver remains a fantastic way to diversify your investment assets.
The cost of precious metals may fluctuate but there is an intrinsic value that is permanent and unaffected by silver or gold price prices. Many experts are recommending the inclusion of silver coins in investment portfolios as a way to help protect your finances from the potential damage of inflation.
SILVER IS COST-EFFECTIVE
Because of the tremendous cost difference between silver and gold prices, investing in silver is a far more cost-effective way to increase your investment portfolio while at the same time protect it from the frightening trends in the financial markets over the last couple of years.
In the decade between 1971 and 1981, the price of silver increased almost five times. During the same period, the value of the U.S. dollar dropped to less than half of its value.
While it is true that no investment is 100% safe, precious metals have held value for thousands of years, yet everyday stock certificates become entirely worthless. Why not invest in something that will be valuable even if the markets get worse than they already are?
If you are still trying to decide what direction the future of your investments should take, I strongly recommend that you download a free copy of my digital booklet, A Guide to Silver Coin Investing. In it you will learn more about why silver is a strong, sound liquid investment that will have a value even in the worst financial times.