I have the desire to buy silver bullion just a few days ago. Now I am kicking myself for not buying silver bullion earlier.
When I started making money online, the USD is relatively high compared to Singapore currency.
That was the time when one USD worth S$1.50.
That was the time when a writer in Helium could earn US$2.50 upfront payment per article. It seems so long ago, yet that was just two years back.
Since then, the USD keeps declining, and the upfront payment for articles keeps declining.
The passive income from article writing suffers as well.
That was why I started to searchfor ways to lock in the value of money.
Investing in gold and silver is traditionally a hedge against declining currency or survival during a crisis.
The price of gold is very high now. It is beyond my reach to own a 10 oz gold bar.
The price of silver is very high at the moment, though not as high as the price of gold.
If you check the chart for the price of silver in the last ten years, you will notice that the lowest point in the price of silver is just USD four per ounce.
At the point of writing, the spot rate for silver is more than $30.
If you had purchased a silver bullion when silver spot rate was just four dollars, and sold it now for thirty dollars, you would have made more than seven times profit.
I doubt your salary increases at the same rate for the past ten years.
It is likely that you have an increase of less than 30% in salary for the same period. Imagine an investment that pays off 700%. Do you think it is great?
The good news is that it is not too late to start investing in silver commodity.
If you are interested in buying silver bullion, you have to bear in mind that the silver spot rate is not the cost of the silver bullion.
The silver bullion is a minted commodity. You need to pay a premium over the spot rate. You need to pay for the shipping charge for the seller to send the
There is a risk of buying silver bullion online. You should never buy from sellers in China. There are many horror stories of fake silver bullions.
You need to check out the reputation of online sellers.
If you want to buy freshly minted silver bullion, you will have to wait for a few weeks to a few months.
There is currently a worldwide demand for silver bullions, and many mints are not able to keep up with the production.
The good news is that you lock in the price when you confirm the order, and send the money.
That means when you buy at the time when the spot rate for silver is USD30, and you receive the silver bullion a month later, the price of silver may increase to USD32.
However, there is a risk of price correction.
Many analysts and investors are holding back their purchase in anticipation of a market correction to the price of gold and silver.
The price of gold and silver had been in a bull run for the past few months. The price keeps going up. That is why the investors expect a market correction. This will occur when the buyers collectively stop buying.
Will it happen? Nobody really knows.
Scheng1 is a passionate blogger from Singapore. Rich in every sense reveals my deep desire in enjoying life, and be rich in every possible ways. Personal Finance is about money, from making money to investing money. Retirement in Asia contains resources on overseas retirement.