Throughout history, silver bullion has served mankind as a primary monetary metal. It is durable, divisible, convenient, has utility value, and cannot be created by fiat.
However, unlike its fellow monetary metal—gold—silver is most commonly used today as an industrial commodity. Industrial demand for silver has grown consistently for the past three decades because of silver's many unique properties, including its strength, malleability, and ductility...its unparalleled electrical and thermal conductivity...its sensitivity to and high reflectance of light...and its ability to endure extreme temperature ranges.
In addition to its industrial uses and qualities, silver is also used in numerous health care products because of the unique antibacterial characteristics that it possesses. The "Silver Bullet" is used by hospitals to prevent bacterial infections in burn victims. Wound dressings and other wound care products incorporate a layer of fabric containing silver for prevention of secondary infections. In a world that is showing increasing concern about the spreading of disease and potential pandemics, silver is increasingly being tapped for its microbicidal qualities.
It is estimated that more than 95% of all the silver ever mined throughout history has already been consumed by industrial use. That silver is gone forever, unrecoverable at any price. In 1900, there were approximately 12 billion ounces of silver in the world. Today, according to The Silver Institute's ''World Silver Survey 2013,'' identifiable silver bullion stocks worldwide (not including bullion held in depositories on which information is not available, or in private investor vaults) totaled just 1.366 billion ounces at the end of 2012.
Anyone who follows world headlines is certainly aware of increasing and ever-present geopolitical instability. This, combined with the evolving macroeconomic landscape, can be viewed as bullish catalysts for the silver market. Silver's historic role as a store of value and investment, and its increasing demand in an environment where growing industrial use exceeds available new supplies, further suggest a bullish trend for this versatile metal.
Some of the world's leading financial analysts believe that silver is one of the world's most important commodities, with unparalleled investment opportunity for the future. Silver's unique properties, which make it ideal and essential for global industry, create a situation where there is simply no substitute. In addition, silver prices at times have been extremely volatile, making silver an attractive investment and trading vehicle.
Pure .999 fine silver bullion is available from Monex in two convenient forms:
The 1,000 ounce silver bullion bar is the standard industry unit and traditionally used for trading and storage, but can also be taken for personal delivery. Each bar is hallmarked to certify weight and purity. Actual weight can vary up to 10% in either direction. On personal deliveries, prices will be adjusted to actual weight.
Also available from Monex is the 100 ounce silver bar. The smaller and lighter 100 ounce bar enables investors to more conveniently store and transport their silver. Numerous brands of .999 fine silver have been produced over the years, including bars from the Royal Canadian Mint, Johnson-Matthey and Engelhard. 100 ounce silver bars are produced either by an extrusion process, machine fabrication or by a free pour method. All types are guaranteed to weigh 100 troy ounces. Unlike the larger 1,000 ounce bars, smaller 100 ounce silver bars are preferred for stacking and storage in a safety deposit box or a home safe.
Experienced investors know that if they call the market correctly, the results of their investments can be amplified greatly by using investment leverage. With this in mind, silver bullion's investment potential may be enhanced by utilizing the Monex ATLAS account where investors can finance their silver bullion investment and control up to five times the silver as in an all-cash purchase.
There may never be a better time to buy silver bullion than right now. World demand for silver—for industrial, medical and investment uses—now exceeds annual silver mine production, and has every year since 1990. Above ground stockpiles are low and are reported to be shrinking rapidly. For these reasons, many feel silver bullion represents an outstanding investment opportunity.
Call a Monex Account Representative today to discuss how a silver bullion investment could and possibly should become part of your investment portfolio.
Monex Account Representatives are normally available between 5:30am and 4:30pm Pacific time each Monday through Friday (except national holidays)...and on many weekends.
Give us a call...give our service a try...and compare our prices. You'll see why Monex has been America's trusted name in coin and bullion trading...for more than 50 years.
Why should I invest in silver?
Investors and experts have often recommend that 10% to 20% of an investor's assets should be invested in precious metals but the reasons for investing don't stop there. Throughout history, precious metals, including silver, have been a solid hedge against a declining U.S. dollar. While silver has experienced more volatility in the past, compared to gold, silver is still a solid investment.
Should I invest in gold bullion or silver bullion?
Investments in either gold or silver are completely reliant on the customer's preferences. The important thing behind deciding what to invest in is to ensure you are informed in the metals markets. Our website offers amazing resources to help you decide which investment is right for you. To understand more about why you should invest in gold, silver, palladium or platinum, visit the page on "Why Silver" and also take advantage of the Monex proprietary "Market Outlook" which contains reports analyzing each of the four precious metals.
Is now a good time to buy silver bullion?
As one of the world's most recognized alternative investment, buying silver goes hand-in-hand with greater uncertainty in the world. During recent months, uncertainty has rippled throughout not just our economic system, but geopolitical system as well. When uncertainty looms in the horizon, it suggests an ideal time to buy silver.
What is the difference between silver bullion and silver coins?
Silver coins are more aesthetically pleasing, containing amazing designs such as the bald eagle with a shield on a Silver American Eagle or the portrait of Queen Elizabeth II on the 1.5-oz Superleaf™ coin. Though silver bullion does not contain such striking imagery, solid pure silver ingots are extremely beautiful to hold and an incredible precious metal to own. 100 ounces of pure silver bullion and 100 one-ounce coins have the same intrinsic value, but investment grade silver coins trade at a premium while having the advantages of their smaller format and improved authenticity features. Silver bullion is often selected more for larger commercial investments, silver bullion coins increase in value similarly according to their like intrinsic value. Coins, which are truly rare and historically significant, vary in price according to numismatic collector supply and demand and typically not relative to their intrinsic metal value.
How much silver is needed to diversify a portfolio?
For those that appreciate how gold works to improve investment reward versus volatility/risk in a portfolio, it is recommended that a minimum of 10% of an investment portfolio should be in precious metals, including silver. However, investors often purchase more when economic or geopolitical uncertainty in the markets and around the world rises. To learn more about buying silver and silver investing, be sure to watch our video "Why Silver? Why Now?"
What factors affect the price of silver?
Arguably, silver has one of the freest market value mechanism of all assets in the world. As such, economic factors determine the price of silver, mainly the decline of the U.S. dollar, or other fiat currencies which it is measured by. Decreases in the value of one's currency leads to higher prices of silver and greater appreciation for its value as true, honest money. Also, uncertainty in the financial markets such as interest rates, stock prices and political uncertainties generally lead to greater demand for silver and a greater appreciation in the price of silver.
How do I purchase silver bullion?
Once you have decided on the quantity of silver bullion to purchase, your Monex Account Representative will assist you in executing your order over the phone. Your purchase and price will be confirmed on a voice recorded line after your acknowledgment, and a written confirmation will be sent to you with the details of your order. Payment may be made after you order, but must be initiated on the day of purchase, which means you must mail or wire funds on the day of your purchase. You can have your metal (a) shipped to your home; (b) made available for pick-up at over 30 facilities across the U.S. and Canada; or (c) have your metal delivered to a bank/depository for storage.
Can investors store silver bullion purchased with Monex?
Yes, investors can store unlimited amounts of silver with Monex. Your silver will be securely stored with Brinks or F&M Bank to ensure maximum safety. To learn more about storage with Monex, call an Account Representative now.
What are the advantages of home vs. depository delivery?
Whether you choose to have your metal delivered to your home, or to keep it stored with your depository custodian's vault, it is up to you. By storing it at a depository vault, you gain the comfort and satisfaction of knowing that your investment is safely guarded according to depository industry standards. Stored metal provides you with the benefit of being able to liquidate your investment quicker. You may direct Monex to ship you your metal, at any time.
How can I get more information about investing in silver bullion?
The best places to get information for investing in silver bullion would be our "Investor Info" tab at the top of this page. There you will find more information about not just silver investing, but also investing in gold and palladium. You will also be able to subscribe to our Precious Metals Review (PMR) and our Gold Value Insights. Both of these subscriptions help to keep you informed on up-to-date information on the precious metals markets.
What silver products are reportable?
Your purchases of silver do not require reporting to the IRS. Reportable silver products include your sale of 1000 ounces or more of silver bullion and 25 or more silver one-ounce Maple Leaf coins and 90% silver U.S. coin bags of $5,000 value. Feel free to discuss any questions you may have regarding reportability of precious metals with your Account Representative.
What ingot sizes are most popular?
Popularity in ingot sizes vary from investor to investor and what they are looking for from a precious metals investment. The 100 ounce silver bars are an ideal investment grade bar which is well known to the market. The 1,000 ounce silver bar is most popular among investors looking to store or for easy liquidation from an investment.
Where can I see live Monex prices for silver?
The best place to find live prices for silver is on the Monex live prices page found using our live prices tab, and through the Monex Bullion Investor smartphone app available for both Apple and Android smartphones. Along with gold you will also have access to live prices for silver, platinum and palladium.