Saturday 28 April 2012

Investing in Silver

If you're looking for conventional recommendations, please do not look here. I can easily recommend blue chip counters that can give you 10 to 20 percent return easily. Don't get me wrong, but that's not called speculating anymore in my dictionary. Today, I'd like to shift focus to commodities. The commodity in focus is Silver. That's right, Argentum (Ag). 

If you follow the prices as closely as I have done, you should notice that Silver price moves in tandem with Gold price. 

Why you should buy Silver?

1. At its current price ($32 per ounce) it's still selling at a significant discount compared to prices of 1980s ($50 per ounce). If you factor in the depreciation of the value of the US dollar and our paper money, it should be much more in value. 

2. Silver has historically been sold at a 1:15 ratio to Gold's prices. At Gold's current price ($1650), Silver should sell at $110 per ounce. 

Finally, I'd wish for my readers to check this out. There's many resources around the web, but I find this the most accurate thus far. Happy weekend :)



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