Everyone wants to buy gold as a safe haven for investment. But we did some research and found out why silver may be a better buying choice compared to gold.
Silver is More Affordable
Silver is cheaper than gold and protects you in a crisis as much as gold does. Also it’s more practical for every day purchases. Sometimes it’s harder to accumulate money to buy gold, but you can buy silver in that amount. Silver also has lower buying charges compared to gold. So you get more value for money.
Silver demand is rising
Economic advisors and monetary experts, say that the silver which was acquired by the world in five thousand years, is now nearing its end. According to the study of https://www.statista.com/, the global production of silver in 2010 was 23,800 MT, which has increased to only 27,000 MT in 2019. While the use of silver, according to the data of 2018, in various sectors like jewelry, silver coins and bars, silverware, industrial use of electric and electronics, industrial alloys and soldering, photography usage and others was close to 38,600 tons.
Silver reserves are decreasing
Silver is mined at a ratio of 11 to 1 against gold. And now silver mining is falling and so are the government reserves. That means the supply of silver will fall going forward. So with the demand rising and supply decreasing, the prices of silver might increase sooner than expected.
Disproportionate price of Silver vs Gold
Historically gold was 15 times the value of silver. And now it has gone as high as 80 times. That means the rates of gold has gone much higher than the rate of silver. Also most of the gold is lying in lockers and reserves while silver has so many applications and being used on a large scale. The demand of silver is continuously increasing while the supply has been lesser than the demand since many years.
Multiple applications of silver
Industrial use of silver has become much greater as it is now being used in military and medicine applications; Silver is used in electronics, medical applications, even batteries and solar panels. Silver is used in all types of electric switches, relays and batteries. It is used in water purification systems and color (paint) and as a primary component in the photographic industry. Silver usage in industry is more than 50% of its total demand and it’s continuously growing.
Most of industrial silver is consumed or destroyed in the fabrication, hardly any can be recycled. Hence most of the silver consumed isn’t recycled at all which is contributing to the decline in silver stock.
Rising Indian Demand
Silver demand in India has soared in both Jewellery and Silver Articles. And with more and more people understanding the benefits of using silver articles the demand is only growing.
And this is our last and most important point:
Silver is functional
Silver need not be stored in the form of coins, bars or jewellery like gold. You can actually buy functional items made of silver. You can use them in your day to day life while your investment is safe. It can always be polished or recycled and renewed. That is definitely a better way to invest your money.
These are our reasons for you to invest in Silver. We are not asking you to stop buying the gold jewellery you really want to, but just asking you to buy silver for your kids and for your day to day use too. Also, it’s one of the best gifts for your loved ones.