Since the pandemic, the world, and the US specifically, has seen one of the highest inflation rates. Today, the economy is still trying to pick itself up, with inflation having gone down significantly. However, the damage, which included massive job losses, businesses closing down, and people’s investments plummeting, was already done.
That said, if this period taught people anything, it is the importance of safeguarding personal wealth in case there’s another economic downturn.
We know that gold is an excellent way to guard against inflation, as it typically soars when the dollar’s value starts to dip. But is silver, also a precious metal, a smart investment too? The simple answer is yes. You should stock up on silver bars for the following benefits:
Tangible Investment That Stores Value
Stocks, bonds, CDs, and treasury bills are all intangible assets. They don’t exist in physical terms but rather are promissory agreements. For this reason, they are affected by factors such as currency performance and how well the economy is doing.
Silver, on the other hand, is a tangible or physical asset. This alone gives it intrinsic value. In short, it has value in itself. While the markets may affect its value to some degree, silver can never really be worthless. It will hold value even when the market is turbulent.
So, it can protect your wealth for generations to come.
Potential for Better Returns Than Gold
Did you know that silver has, in many instances, outperformed gold during bull runs? Silver is, surprisingly, one of the best precious metals you can buy today because of the potential short-term returns. For instance, in 2009, shortly after the 2008 financial crisis, gold rose 27.63% while silver gained 57.46%. The next year, gold rallied another 27.74% while silver shot by 80.28%.
The best part about all this is that you need much less capital to invest in silver bars because they are cheaper than gold bars.
Easy Way to Diversify Your Portfolio
If you’re still a beginner in the world of investing, it can get intimidating pretty fast. The safest route is to usually go with investments you understand. But, in the same breath, you do not want to put all your eggs in one basket, as investing is risky. You should diversify your asset classes to spread out your risk and maximize your returns.
Silver offers a great option for diversifying your portfolio. It is easy to acquire- being available in as little as one ounce to as large as a kilo does not need a lot of management and hedges your finances against inflation. If the stock market were to crash, your investments in silver would help you recover some of your losses and save you from going under.
Silver Bars Are Still One of the Best Investments Today for Protecting & Growing Wealth
We work to make money. Then we invest that money to protect and grow it. Acquiring silver bars is a smart choice if you want to hedge your wealth against rising inflation, earn good returns in the long term, and reduce your investment risk. So, stock up on some bars and let your money work for you.
