During a recession, it’s natural to want to invest your money in something that is more conservative than stocks and funds. These things can fluctuate widely and are more fitting for the investor that can ride out these fluctuations. If the thought of investing in something so unpredictable scares you, investing in precious metals may be the way to go. It won’t yield high profits as other investments may, but it won’t yield such high risks, either. It will help protect you against a failing dollar and rising inflation.
The price of silver has been rising for the past half decade. Since 2003, it has made it’s way from a mere four cents per ounce to 2008’s nearly fifteen cents per ounce. Though there are many different ways to invest in silver, from investing in a silver mining company to silver bars and silver certificates, we will focus on silver coins. Coins may be either “junk silver” or “fine silver.” Don’t be fooled by the term “junk” silver. This simply means that the coin itself is not a collectible; the silver in coin is the only thing that has value. Dimes, quarters and half dollars minted in 1964 and before originally had 90% silver but some of that may have been lost during circulation.
These coins are a good investment because regardless of how far silver prices drop, the coins will always maintain their face value (for example, a dime will always be worth ten cents). They can be purchased for much lower prices than bars and are easily sold or traded in small amounts. Alternatively, fine silver is 99% pure silver. This is what is used to make silver bars. Some countries minted coins that are 99% silver, though they are rarer, and therefore, more valuable. If you’d like an investment that’s easy and low-risk, investing in silver and silver coins may be the best way to invest your money.
