my mom said it would be ok if i were to get 500$ dollars out of my bank. Which would be the best precious metal to invest in? im new to bullion, i only have 10 oz of silver :/
The answer to your quesiton is different for many different people. You need to evaluate what your goals are. do you want to: Make a profit bearing investment? Protect your wealth as you invest through life? Have a hedge against inflation? Have something to barter with if the need arises? No one knows what each metal is going to do. However, Many people believe silver has the best potential upside. Especially due to the low price of silver in terms of the historical gold/silver ratio. If you can't handle as much risk and fluctuation, then gold may be better.
For bullion or just normal coin collecting? I would buy junk silver, and make a collection (quarters, halves, dimes, etc). Get it for melt and use the money on that. Would have two purposes, one being bullion, and the other for a collection
Just starting and with $500 I would say silver. Buying a few American Eagles and some pre-1965 American coins will give you a nice collection to start with and the feel of different grades, weights and some variety.
Really at $.027 an adv oz from what I see on fleabay It would have to reach about $16+ a pound to break even much less make any money.
Those rounds seem like a terrible deal. I don't believe they will ever be very collectible nor can they work out as a bullion investment because they are insanely overpriced.
Call me crazy, but I don't think I would buy bullion right now. It's too high. I just can't imagine it staying at this value for the long haul. Maybe I'm wrong, but it seems that whenever prices soar a lot of people want to buy and that seems backwards to me.
With an amount such as $500.00 dollars to invest I would take my time and seek out collector grade (MS 63 or better) problem free common date US silver coinage. If you look hard enough you'll be able to find some at a relative small premium over what you would pay for a junk silver coin. If you go the ASE route buy coins struck from 1986 to 1999 or at least years with a mintage under 10 million. Diversify your dates if possible. When looking at the industrial metals - as for copper well its current price is flirting with the all-time high. Nickel on the other hand spiked to over $20.00 before the financial meltdown and is currently trading at about 60% of that price. It appears to me there is more value here than copper. Well maybe just less downside risk.
Buy silver in whatever form gets you the most bang for your buck. Do your own research to find the best deal. Don't listen to people on this site who already sold their stuff and are now desperately predicting that it won't stay this high forever. The dollar is done. The price of silver in US dollars is irrelevant. There will come a time (probably soon) that you won't be able to buy a physical ounce for ANY amount of US dollars. For this reason, any PM is a good investment. The reason I like Silver more than other metals is because it's vastly under-valued based on supply and demand. Silver is heavily consumed in industry, and that consumption is steadily rising. Did you know silver is a key element in solar panels. Do you think we are going to be making more solar panels as time goes on? Did you know that most silver is a byproduct of mining for other base metals? When the massive deflation of the world economy occurs, the demand for those base metals will fall off a cliff. Silver supply is going to fall with it. Buy as many physical ounces as you can and don't pay attention to the short term fluctuations. Just buy more when the price dips.
If you are going to do this, you might as well buy a 1/4 ounce coin to avoid most of the high premium.
