WHY INVEST IN SILVER?
- ONCE IN YOUR LIFETIME OPPORTUNITY TO INVEST IN SILVER NOW
- GOLD AND SILVER RATIO: 1 TO 67
- WHY IS GOLD AND SILVER RATIO IMPORTANT TO SILVER INVESTORS?
- LEARN MORE ABOUT SILVER INVESTMENT
- PHYSICAL SILVER POSSESSION THAT WILL CHANGE YOUR LIFE FOREVER!
Main reasons why silver is a good investment and it just started to create its uptrend direction.
1. Decline in silver production for the first time in over a decade
2. Sluggish silver recycling
3. Record-high sales of silver in 2015
4. Gold and silver ratio favored for silver
5. Understand the history of gold and silver ratio
6. Weak dollar
7. Why investors choose silver coins compared to silver bars
" Silver is known as the poor man's gold. Not anymore if the ratio of gold and silver start to close up. It may become 1:1 one day because of the huge demand and low supply in silver! "
Decline In Silver Production For The First Time In Over A Decade
According to investment bank Société Générale, silver supply will fall for the “1st time in over decade“. Societe General’s projects a decline in silver mining production of 9.2% in 2016 and a 13% fall in 2017 over silver mining production in 2015.
Société Générale’s projections for silver mining decline in 2016 are greater than the 5% decline anticipated by the Silver Institute.
These results were achieved largely out of necessity as the price of silver fell but miners’ debt obligations and operating costs did not. As the price fell, many miners found themselves in a hole in which a ‘stop digging’ approach wouldnt’ help, but would accelerate their demise. So, these miners pumped out record amounts of silver. In doing so, they “high graded” their mines, meaning they extracted the cheapest and easiest silver they could and cut back on exploration costs. As a result of doing this, it will be harder to maintain silver production going forward having deplete a good portion of their low hanging fruit and not invested in finding and developing future sources of silver.
Sluggish Silver Recycling
The recycling of silver is one of the most opaque and complex areas of all the precious metals’ fundamentals. This has the potential to create a disconnect between current statistics and the true volume recovered. It was therefore felt that a thorough investigation of silver scrap was needed and we are delighted to have been commissioned by the Silver Institute to carry out the research required. This concern over the accepted scale of recycling has been justified by this report as our findings point to some recent years’ volumes being more than 10% lower than we once thought, and this obviously impacts on projected volumes. The timing of the study is also opportune, as the end of the silver bear market appears to be in sight and so we can properly judge how scrap has fared in an era of lower prices and how it might behave looking ahead.
As for the outlook, it is worth noting that structural factors almost guarantee a continued fall in photographic scrap and this, combined with a depleted pool of near-market silverware, leads us to forecast that total recycling will stagnate out to 2017, even with a price recovery.
Record-High Sales Of Silver In 2015
Silver Demand Set Record In 2015 and Supply Shrinking.
Silver demand hit a record high in 2015 and it shows no sign of warning.
GFMS, in collaboration with the Silver Institute, released its annual silver survey last week. Coin, bar, jewelry, and photovoltaic sectors boosted silver sales to a record 1.17 billion ounces.
High demand coupled with shrinking supply resulted in the third consecutive annual silver deficit. The gap between silver supply and demand was 60% larger than 2014. According to the report, mine production growth slowed to 2% last year. Scrap sales were also weak.
Investment buying was a major factor in the overall boost in silver demand. World demand for silver bars and coins increased more than 56 million ounces last year to 292.3 million ounces. If the first part of 2016 is any indication, the appetite for silver coins has not slowed any. The sale of American Silver Eagles continued at a torrid pace through the first months of the year.
Silver jewelry fabrication increased for the third consecutive year, rising to 226.5 million ounces. A 16% rise from both India and Thailand, drove the increase in silver jewelry demand, while North America posted a 5% annual increase.
Silver demand for photovoltaic applications jumped 23% in 2015 to 77.6 million ounces. It was the second consecutive year of increases in this sector. Solar panel production in China was a major driver.
GFMS experts aren’t the only ones bullish on silver. Bank of America Merrill Lynch said last month that silver’s fundamentals look the strongest in years thanks to declining mine output and increasing demand.
Silver went on a bull run in April 2016, cracking $17 per ounce for the first time in nearly a year. It has held above that level amid positive signs for continuing Chinese industrial demand and decreasing bets the Federal Reserve will raise US interest rates.”
Gold And Silver Ratio Favored For Silver
Investors who trade gold bullion, silver bullion and other precious metals study carefully on the gold-to-silver ratio as a signal for the right time to buy or sell a particular metal.
When the ratio is high, silver investors know that silver is favored. This is because, relative to the ratio, silver is relatively cheap to own now.
As difficult as it is to imagine this in the US, or any other modern society, we are at the mercy of history, for no fiat currency has survived more than 50 years in the 5000 years humans have experimented with currencies. And the current financial crisis shows us that, if the storm were to occur, now would certainly be the time.
It is very possible that this ratio could revert very quickly, from the current 67 to 1 to the oft-quoted historic 15 to 1.
Once the gold and silver ratio come close to each other, your silver possession you hold will skyrocket and your true wealth will grow. It is your lifetime opportunity to invest in silver right now.
Gold and Silver Ratio Example:
As per today's date written on 24 July 2016, if you invest a monster box with 500 ounces of silver worth S$15,500 estimated price today with gold an silver ratio at 1:67, if 3 to 5 years from now the ratio averaged at 1:17, that means your 500 ounces of silver value increased in 400% return at about S$62,000 estimated according to today's silver price.
" Because the ratio of gold and silver is 1:67 today, it is definitely a good buy as silver is so much undervalued for now "
Understand The History Of Gold and Silver Ratio
- 2007 – For the year, the gold-silver ratio averaged 51
- 1991 – When silver hit its lows, the ratio peaked at 100
- 1980 – At the time of the last great surge in gold and silver, the ratio stood at 17
- End of 19th Century – The nearly universal, fixed ratio of 15 came to a close with the end of the bi-metallism era
- Roman Empire – The ratio was set at 12
- 323 B.C. – The ratio stood at 12.5 upon the death of Alexander the Great.
There are many reasons why the value of the dollar has an impact on commodity prices like silver. The main one is that commodities are priced in dollars. When the value of the dollar drops, it will take more dollars to buy silver.
" Gold and Silver are real money and currency note can lose its value. Before currencies lose it's value, It's once in our lifetime opportunity to invest in silver now because people are losing confidence in the monetary system due to too much printing of paper money in the market. That's the main reason why investors are buying up physical stocks. Not just for investment, but for hedging against failure of the monetary system "
Why Investors Choose Silver Coins Compared To Silver Bars
What is the difference between a silver coin and a silver bar? This is an important question, especially if you're a novice investor. So let's start by discussing the definition of a coin.
Silver coins have the status of legal tender and are produced by a sovereign government's mint. Each side of a silver coin includes an intricate design, which often varies year-to-year. Most silver coins feature a face value and year stamped on the obverse (or front), and their purity and weight is inscribed somewhere on the reverse (or back) of the coin.
Owning silver coins is that the premium is generally a bit higher than the silver spot price, mostly because of their collectability, status as legal tender, and rarity compared to silver bars produced by private mints and they are not considered legal tender.
For 2016 Canada 500 Coin Silver Maple Leaf Monster Box and 2015 500 Coin Silver Eagle Monster Box orders, we provide Free Delivery Anywhere In Singapore safely and securely all the way to your doorstep at any time of your convenience!
You may contact our sales representative now for assistance to invest silver bullion with us now at (65) 9633 6728 or (65) 9781 8351