Do you want silver bullion or silver dollars? This is actually a very common question from those considering the best or most appropriate way to invest in silver. What is the answer? Well, there is not a single answer for everyone simply because there is a range of goals that might apply to each person or group.
For instance, are silver dollars a good option for someone looking for a short-term hedge or safe haven during market turmoil? Yes, and these might be the modern silver bullion dollars like the American Eagles or they could be rare coins that are worth roughly the same as their silver content – such as the Morgan silver dollars.
Either way, this sort of investment in silver is going to provide total protection to the capital over a shorter period of time and may even produce a high profit when the coins are sold.
What about someone interested in a long-term investment? The silver dollars will work beautifully for them as well. This is due to a few things. Firstly, when you purchase rare silver coins from a certified dealer, you are getting an asset that is only going to increase in value over time. Whether the coins are very rare or only slightly rare is not an issue because any coins that are collected widely and sought after by groups that increase in size and number over time will maintain their value.
Secondly, silver is one of the precious metals that are “positioned” to increase substantially in value in the coming years. This usually will not actually have any sort of affect on a rare coin, but there are many silver coins currently selling for little more than the value of their silver content.
The reason behind the increase in the value of silver is pretty interesting and worth understanding if you are considering any precious metal investment. Silver is used heavily in commercial enterprises and industrial settings while many other metals are only used to a small degree. The amount of silver mining has been declining due to financial strains in the many global markets. This has created a sort of “supply and demand” problem in the coming years, and this means that any assets containing pure silver will have tremendous value – even if they also have value due to their scarcity too.
We strongly urge a consideration of silver assets, but particularly coins that will hold in value and improve the portfolio even over the short term.