You might want to consider joining the legion of silver bullion buyers who are buying up silver for investment purposes since the price of silver is expected to remain strong in the coming years. 2010 was a good year for investors in silver as lingering concerns over the state of the global and US economies as well as the high price of gold made silver an attractive alternative as a hedge against inflation.
Silver prices rose by 70% over the course of 2010 due to high industrial demand for the metal from the electronics and jewelry sectors and prices are expected to remain high in the coming years due to silver’s use in a host of new applications such as flat screen TVs, water purification and silver-zinc batteries. While price levels of silver are expected to continue fluctuating, most analysts agree that silver is still a promising investment.
For those who are newcomers to silver bullion investing, silver bullion is defined as silver that is not individually valued and is commonly sold in the form of pieces such as bars or lumps. Bullion is commonly sold by weight and is valued based on its commodity price in the markets.
Silver bullion buyers purchase raw silver, which can be in the form of coins which have no numismatic value, silverware or even electronics components that is sold in pieces called silver rounds. Silver rounds are some 1.5-inches in diameter and weigh around one ounce; they should also have a high silver content of around 99.99 percent.
If you are planning to buy silver bullion, make sure that you deal only with a reputable dealer. You can check on dealers’ reputation with the local Better Business Bureau or see if they are members of a recognized industry organization with a code of ethics. You can also ask other bullion buyers about which dealers they have dealt with in the past who they would recommend.
Another option for silver bullion buyers is to transact with silver retailers online, but this may be more expensive than buying from direct dealers since you may have to shoulder transaction fees and shipping charges; you may also be required to make a minimum purchase.