Silver - to buy or not to buy?

Everything that uses electricity or electronics requires silver, almost. Think about it: your cell phone, your laptop, your CD player, plasma screen, refrigerator, washing machine . . . everything you can think of that uses electrical current or is an electronic item, like an iPod, uses silver to some level.

So even though it’s a miniscule amount, if you’ve got a billion people seeking these type of gizmos, gadgets, and just raw power or something as basic as a washing machine, that puts an upward pressure on the silver price from an industrial perspective.

There is much talk about China at the moment being a possible huge investor in silver. How much silver investment demand there will be and how it will catch on, no one knows at this point. Many pundits suggest that it will catch on and I am inclined to agree with them. People have a survival instinct and when there is panic and chaos, especially in financial markets, they seek anything that they perceive will preserve their wealth or protect them. Silver promises to do just that.
At over USD$900 per ounce at present, gold is too expensive for many people therefore silver is a very attractive and affordable option. We do not have a massive supply of silver worldwide and we have a much larger base of people willing to get into the silver market than ever before. It is quite possible that silver will reach in excess of USD$50 per ounce.

So for those of you who are afraid of having all your money in banking institutions and who either do not have the funds to buy gold at all, or who can buy only a little, then silver is a wonderful option. It is inexpensive, but one of the drawbacks is that it is very bulky and difficult to store. You may have to consider having it stored by a company overseas – there are several online and I suggest you check them out. www.goldmoney.com and www.bullionvault.com are a couple of options for you to start out.

For a relatively small amount of money, you can have some physical coins that will give you protection should the whole system collapse.