Investing in Silver: Which Investment Is For You?
Should you and your financial advisor decide that silver will be part of your investment portfolio, the next step is to learn about silver investment vehicles.
To help you, here is a summary of silver investment choices:
- Bullion: Silver in the form of bars that are at least 99.5 percent pure.
- Official Coins: Silver coins issued by a government mint.
- Medallions (Rounds): A round piece of silver resembling a coin but not considered legal tender. Medallions may be issued by governments or private mints.
- Certificates or Storage Accounts: Silver is kept in storage but the investor can take possession within a few days if desired.
- Accumulation Plans: This approach enables investors to accumulate silver on an average basis, similar to dollar cost averaging. The investor does not own the physical silver.
- Futures and/or or Forward Contracts: An agreement made on an exchange to take or make delivery of silver at a set date in the future.
- Options: The right, but not the obligation, to buy or sell a silver or a financial security linked to silver on a specified date in the future.
- Exchange Traded Fund: A basket of equities linked to silver, i.e. the physical metal, producers, refiners, etc. ETFs are traded on exchanges throughout the trading day.
- Mutual Funds: An open-ended fund that holds a basket of silver-related equities that are priced once daily.
Following is a list of retail outlets and the investment vehicles they offer:
Sources of Investor Products (Silver)
* 400 oz bars available only
+Check with your broker, or go to www.ishares.com for a prospectus
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