Is Silver A Good Investment? Pros, Cons & Best Option

Andrew C. McGuire

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Are you considering investing in silver?

It's an important decision and a good question to think about considering the current market conditions we're in.

I'll explore the pros and cons of investing in silver as well as compare it to gold investments. We'll also look at some of the best ways to invest in silver so that your investment choice is informed whether or not this type of asset makes sense for your financial goals.

Whether you're looking to protect your wealth from inflation or recession or are just curious what the new industrial revolution will do for silver mining and requirements for all the electric vehicles by 2030.

My recommendation for the best silver investment option is to go with Augusta Precious Metals. They will help you move your existing 401k funds into a silver IRA where you can also add in gold. It's great because you're able to use existing funds you already have. Go talk to them or check out the page I put together for Augusta Precious Metals

Listen to Joe Montana tell you why his financial team chose Augusta Precious Metals.

Silver as an Investment

Silver, in the past, was used as a form of currency and its value has fluctuated over time. In recent decades, silver has increasingly become popular with investors who are looking to diversify their portfolios with precious metals. Silver is often seen as a more affordable alternative to gold, and it can be purchased in silver coins or silver bars from dealers around the world.

Check out the latest silver price in the chart below as you explore the differences between gold and silver (only on desktop). 

Pros of Investing in Silver

Silver is an attractive investment option for those looking to protect their wealth from inflation and a recession. It’s relatively affordable compared to gold, making it more accessible for investors with smaller budgets. Silver also has high liquidity, meaning it can be converted into whatever other form of currenty you'd like or other investments without incurring significant losses in value.

I also like investing in silver because of it's potential for growth due to the Biden administration's $3 trillion infrastructure package and what it means. The proposed plan includes funding for green energy projects that could increase demand for silver as a key component in solar panels and other renewable technologies. This increased demand could drive up the price of silver, providing investors with higher returns on their investments over time.

In addition, silver offers diversification benefits since its prices are not directly tied to stock markets or economies like gold and other precious metals are. This means that if stocks take a hit during times of economic uncertainty, your portfolio won't suffer as much if you have invested in silver instead of traditional assets such as stocks or bonds.

Finally, unlike many other investments such as real estate or art collections which require storage space and ongoing maintenance costs, investing in physical silver coins requires minimal effort after purchase since they can simply be stored away until needed again later on down the road when you decide to sell them off at a profit (or loss). This makes it an ideal option for those looking to protect their wealth without having to commit significant time and resources.

Investing in silver is always a great way to find alternative investments for your portfolio and protect your wealth from inflation. Next, we'll explore the cons of investing in silver.

Cons of Investing in Silver

Investing in silver can be a great way to protect your wealth from inflation and recession, but it is important to understand the potential drawbacks of investing in this precious metal. Silver is known for its volatility and lack of diversification options, making it a riskier investment than other commodities such as gold or stocks.



The price of silver can fluctuate significantly over short periods of time due to supply and demand factors. This means that investors must be prepared for both gains and losses when investing in silver. Additionally, the price of silver tends to move more quickly than other investments like stocks or bonds which may make it difficult for some investors to keep up with the changes in market conditions.


Lack of Diversification Options

When investing in silver, there are limited ways to diversify your portfolio since most investments involve buying physical bullion coins or bars. While these products provide an effective hedge against inflation, they do not offer much opportunity for diversifying into different types of assets such as stocks or bonds which could help reduce overall risk levels associated with any single investment type.


Liquidity Risk

Investing in physical bullion also carries liquidity risks because you cannot easily sell off portions of your holdings without incurring additional costs related to shipping and storage fees associated with selling off small amounts at a time. Furthermore, if you need cash quickly then liquidating large amounts at once may result in lower prices due to market fluctuations during the sale process itself which could further reduce returns on investment over time.

Investing in physical bullion also has tax implications since profits made from selling off portions will generally be subject to capital gains taxes depending on how long you held onto them before selling them off again. Therefore, it is important that investors take into account all applicable taxes when deciding whether or not this type of asset class should form part of their overall portfolio strategy going forward.

Investing in silver can be a risky venture, as it is subject to market volatility and the price of silver may not always increase. Despite this, there are still potential benefits to investing in silver - but they should be weighed carefully against the risks before making any decisions. Next up, we'll look at some of the advantages of investing in silver.

Silver vs Gold as an Investment

Silver and gold are my favorite type of alternative investment options for those looking to protect their wealth from inflation and a recession. Both precious metals have been used as currency since ancient times, but they offer different advantages when it comes to investing.

When considering silver vs gold as an investment, one of the main differences is price. Silver tends to be much more affordable than gold, making it easier for investors with limited funds to get started in precious metal investing. However, this also means that silver can be more volatile than gold due to its lower market value.

Another difference between silver and gold is liquidity. Gold has a higher liquidity rate because there is a larger demand for it on the global market; however, silver still offers relatively high liquidity compared to other investments such as stocks or bonds. This makes it easier for investors who need quick access to their money without having to wait too long before selling off their assets.

One major advantage of investing in both silver and gold is that they are considered safe-haven assets during economic downturns or periods of political instability – meaning that their prices tend not rise even when other markets take a hit due to external factors like wars or natural disasters. Additionally, both metals tend to retain their value over time despite fluctuations in the stock market which makes them attractive options for long-term investments as well as short-term ones.

When deciding between silver vs gold as an investment option, potential buyers should consider what type of return they want from their purchase: whether it is immediate cash flow or long-term capital appreciation through holding onto the asset until its value increases significantly over time (which could take years). Investors should also research current trends in order to determine which metal will yield better returns based on current market conditions at any given moment. However, neither metal guarantees success since prices can fluctuate quickly depending on various factors such as supply/demand dynamics and geopolitical events impacting commodity markets around the world.

Overall, silver and gold both have their advantages as investments, but depending on the investor's goals and risk tolerance, one may be more suitable than the other. Next we will explore the potential benefits of investing in silver.

Best Silver Investment Options

Augusta Precious Metals

  • Money magazine's 'Best Overall' Gold IRA Company in 2022
  • Joe Montana's financial team chose Augusta Precious Metals
  • Investopedia's 'Most Transparent' Gold IRA Company in 2022

As I said at the top of this article, it's important to realize that a silver IRA is the best way to get into silver. You can purchase silver directly through silver stocks or silver futures but you're going to be trading paper.

The purpose of buying silver in physical form and storing it in your IRA is safer and really an inflation hedge against the dollar doing a complete collapse. The silver market is always changing with rising and falling price points but if you buy silver and are able to diversify your portfolio - it's a great hedge for this potential recession and inflation pressure we're getting from the federal reserve. Powell just seems to continue to hike up interest rates to a point where we have no choice but to have a hedge against this potential debt bubble that will pop at some point.


ETFs: Exchange-traded funds (ETFs)

offer investors access to a basket of securities that track the price movements of silver prices without having to buy individual assets such as coins or bars directly. ETFs are similar to how you'd buy and sell stocks, making them easy to trade with low transaction costs.


Coins & Bars

Coins and bars are one of the most traditional ways for investors to own physical silver bullion without storing it in your home or some kind of safe deposit box at a bank. Investors can purchase these items through coin dealers, online retailers, banks, or even directly from mints around the world depending on where they live. The cost associated with buying coins and bars varies greatly depending on where they’re purchased from so it’s important for investors do their research before investing in this asset class.


Futures Contracts

Futures contracts allow traders who don't want direct ownership over an asset but still want exposure when trading commodities such as gold or silver by locking in future prices now instead of waiting until later when prices may have changed significantly due to market fluctuations . These contracts come with certain risks however so it's important for traders understand how futures work before entering into any agreements related to them.

Silver is a great option for investors looking to diversify their portfolio and protect their wealth from inflation and recession. Next, we'll discuss the benefits of investing in silver.


Silver has many advantages over gold as an investment, including its affordability and availability. However, it also carries some risks that should be considered before investing in it. The decision of whether you want to invest in silver depends on your individual financial goals and risk tolerance. If you are considering investing in silver, make sure to research the best options available and my recommendation is to attend the webconference at Augusta Precious Metals. They will give you the education needed on the market today in order to feel comfortable whether this is a good investment for you. 

If you're looking for more intel on the best silver IRA companies you can check out how I break it all down. The other option is to look at my Augusta Precious Metals review directly or you can read up on the best gold IRA options too.


Is investing in silver a good idea 2023?

Silver is often seen as a hedge against inflation and economic downturns, so it may be worth considering if you are looking to protect your wealth from such events. However, it's important to research the current market trends before investing in any asset class, including silver. Additionally, diversifying your investments across different asset classes can help reduce risk and maximize returns over time.

Why is silver not a good investment?

Silver is not a good investment due to its high volatility and lack of liquidity. Silver prices are heavily influenced by speculation, making it difficult to predict the future value of silver investments. Additionally, silver is an industrial metal with limited uses, meaning that demand for silver can be affected by economic downturns or shifts in technology. Finally, there is no central marketplace for trading physical silver, which makes it difficult to liquidate quickly when needed.

What is the best precious metals to invest in right now?

The best precious metals to invest in right now depends on your individual financial goals and risk tolerance. When considering precious metals like gold, silver, platinum or palladium they are all good investments for protecting wealth from inflation or a recession but some may be better for you.

Gold is often seen as the most reliable option due to its historical performance during times of economic uncertainty. Silver has also been gaining popularity recently due to its lower cost relative to gold.

Platinum and palladium are more expensive than gold but may offer greater potential returns if prices rise significantly over time. Ultimately, it's important to research each metal carefully before investing so you can make an informed decision that fits your needs.

Is it better to invest in gold or silver?

This is a trick question. It depends on your risk tolerance and if you take into consideration the potential upside that silver offers. With its value increasing during times of economic uncertainty silver always seems to be a good bet. Some would say gold is 'safer' and silver tends to be more volatile but can offer higher returns in a shorter time frame than gold. Ultimately, it is important for investors to understand their own financial situation before making any decisions about investing in either gold or silver.

Andrew's Silver IRA Pick

Augusta Precious Metals is the most trusted silver IRA company