If the 2022 crypto crash has taught investors anything, it’s that stability is the most important factor in creating a solid investment strategy. You’ve likely heard that gold and silver are great investments in tough economic times, but which one should you choose?
Each precious metal has its own strengths and weaknesses as an investment. So, it’s hard to identify which one a potential investor should purchase. We created this guide to look at gold vs silver investment to help you make the best decision.
Why You Should Invest in Precious Metals (PMs) Now
Among the stock market and cryptocurrency markets, PMs stand out as some of today’s safest investment opportunities. Moreover, both gold and silver have always been investments for beginners. With a wide range of options for various levels of expertise, there are plenty of low-risk ways to invest in PMs!
Investing in Gold: The Pros and Cons
Investing in gold is a good place to start for those new to precious metal investing. Investors can buy gold through exchange-traded funds or certificates or physical bars and coins. So, gold is a great option for investors who want to have a physical investment rather than a digital or paper one.
Gold also has a solid reputation for consistency in the market. Like many investments, the price of gold has its ups and downs. However, unlike other investments, it has seen a steady increase in value over the past 20 years.
The major con to investing in gold is that it’s priced so high. You can invest a dollar in cryptocurrency or $5 in stocks. But, with gold, you often have to unload at least $50 to get the smallest investment amount.
Investing in Silver: The Pros and Cons
Investing in silver is a great way to grow your assets without taking on too much risk. Unlike crypto, silver is digitally secure. Hackers can’t touch your bar of silver.
Moreover, it’s cheaper than other precious metals. So, the barrier to entry for new investors is lower with silver. Additionally, silver prices go up more than other precious metals during times of inflation.
One con of silver is that in its physical form, you cannot use it as currency. So, you have to liquidate it to use your return on investment.
Moreover, despite it being hack-proof, it is not theft-proof. Physical silver, like jewelry, has a higher chance of robbery in the case of home invasions.
Gold vs Silver Investment: Which Is Best for You?
Now that you know the differences between gold and silver investments, it’s time to decide which is best for you. Start by asking yourself these questions:
- Am I interested in a larger initial investment?
- Do I want a PM that has a higher base cost?
If you answered “yes” to these questions, then gold is the better investment for you. Ready to start investing? This company alerts you about price changes in gold so you can prepare to invest starting today!
Get More Investment Tips Today
Now that we’ve concluded the gold vs silver investment debate, it’s time to set our sights on even more places to grow our investments. Looking for more advice on personal finance and investing?
Whether you’re new to investing or a seasoned financier, check out our other blog posts for more tips to grow your portfolio!