Silver investment is a popular investment because it has historically held its value more than gold, making it an attractive option for investors. However, there are many reasons why silver may not be the best investment choice. We are not saying that investing in Silver is bad, but instead, we are suggesting that there are better options where you can invest your money.
Let’s discuss 9 reasons why investing in silver is not the best choice.
Silver Investment: 9 Reasons to stop it.
Poor Currency
One, silver is a poor currency. Silver coins are heavy and bulky to carry around in large quantities when you use them for transactions or savings; not to mention that they can be easily counterfeited by using other metals like lead (a common trick used during the time of Julius Caesar). Why bother with silver? Use gold instead!
Silver Doesn’t Have Any Other Benefits Over Other Investments. Why invest in silver when other types of assets offer more return? Silver has no yield, and it’s difficult to predict future value. Why not consider supporting your money into a different type of asset instead?
Not Having A Standard Measure
Two, there was no standard measure of value associated with it. It’s true that many different civilizations have used silver as currency at one point or another throughout history due to its unique properties but these currencies differed greatly from region to region which made trade between regions difficult – imagine having salt as your currency where I live while somebody else has paper money…it simply wouldn’t work because neither side would accept it even if you agreed to a certain value.
Valuable as Jewelry
Silver is too valuable as jewelry for potential trading or bartering with others! Why trade your farm animals for silver when you could go into town and have the local jeweler give you cash?
Silver’s Not That Rare. Why would someone want to invest in something so rare if many alternatives are available? Why would anybody prefer using an option without much demand when choosing one with high demand instead?!
Price Fluctuations
Government central banks can control their production by restricting supply (which they do). This is one of the major reasons why we see such large fluctuations in price from year to year; if somebody like LBMA starts dumping tonnes upon tonnes on market…the prices will plummet because there simply isn’t enough demand out there yet unfortunately this also makes long term investing very risky business.
Silver prices can be volatile, and it’s difficult to predict when those prices will rise or fall since they’re so dependent on the market environment at large! Therefore, the future price of silver should be considered before you invest your money into this metal – if you don’t think its value will increase substantially within the next year, then perhaps consider another type of asset instead!
Why invest your money into silver when you can support it somewhere else that will provide a better return on investment instead of the volatility associated with this metal’s price fluctuations?
No Intrinsic Value
Some say that silver has no intrinsic value – meaning that all of these points above are only speculative assumptions based on the market value of silver at the given time. It has no tangible use so it can’t be considered valuable in itself like gold is (which was used to make plates and even teeth before we learned how to extract it from rocks).
Why invest in something that does nothing but sits around and look pretty when you can put money into investments like gold mines or stocks?
Industrial Metal
Silver is too useful as an industrial metal. Why pay for it at inflated prices when you can buy the same chemical elements used to make silver on your own?
Storage Requirements
Investing in physical silver requires a lot of storage space which may be impractical or even impossible depending on where you live and how many pieces of jewelry you plan to collect. Not to mention that insurance will cost extra money every year…
No Gains in Crisis
There’s no guarantee that governments won’t confiscate private holdings if they need more funds (which has happened before). If this were to happen again during another financial crisis like what was seen in 2008/2009 we would not see any investment gains; we’d simply get our original purchase price back because everything else becomes worthless.
Invest in Other Metals
If you’re looking for an alternative to the stock market (which seems very unstable right now) then perhaps re-investing your funds into precious metals would be a better option; consider investing some of it into platinum as well since it’s worth more per ounce than both gold AND silver! And don’t forget about palladium which is up over 200% year on year so far…or even diamonds…they may not appreciate much but they do hold their value really well compared to other investment options.
Conclusion
Investing is a great way to increase your money and get good retirement. There are many options you can invest in, and silver is one of them. Though silver investment could not be the best option, it is still a good investment option to take.
Investment always has risks. Some investments come with high risks, and others come with low risks.
Whatever your plan is to invest, always make sure you can invest only what you can afford to lose.
