Opinion - Paradigm Shift In Silver?

Interesting article, but they don't mention the speculators and the trading of silver as a stock rather than the physical material.

And the part of the ratio of gold and silver hasn't been valid for decades. Articles always state about the ratio, but when was the last time that was really valid or relevant?

And I don't think that silver is used commercially as much as people think as it used to, back in the old photography days. I have read articles stating it is being used just as much or more, but nothing stating number of ounces per year and for what. I don't think it is being tracked in that great of a detail.

This is still a great time to buy silver ... I bought most of mine in 2003 and 2004 at between $5 and $6 per ounce. I sold 3000 ounces last fall to make my retirement easier. I am holding the other half until it hits $50 per ounce.

I like that Earl, convert to gold at 25 to 1....

I had just over 2 oz. of gold last year, but as always can't afford to keep it, esp gold....

Now then, if one had a large amount of a higher valued silver closer to 25 to 1. You trade your silver at 25 to 1, where as you would get about 1 oz. of gold for 50 oz. of silver today, where as tom in your 25 to 1 world you could get 2 oz. of gold for 50 oz. of silver....

Too even be worth getting enough gold to make it worth ones wild, I figure 200 oz. of silver for trade, via the result of 8 oz. of gold gained. If I had 8 oz. of gold, I would do everything I could at this point to not sell any of it, and keep adding to it, or even 4 ounces would be pretty sweet, via a 100 oz. swap out....

Crazy stuff there Coinvet, as I have noticed how fast the Canadian wildlife series increases in value.....

But again to make a return like that, one needs enough to buy a 500 box at 31 bucks per coin, IF an when the price drops back to that range....

If I ever get to the point where I have 15.5 grand to invest, I will indeed consider that route.....

Libertad, I will address your concerns.
The interesting thing about the 1 ounce silver Canadian Wildlife series is that when the coins are first issued by the mint, they have been issued at a price comparable with the 1 ounce maple leave investment coins. As I said before, when I purchased the 2011 Timber Wolf Coins @ $31 per coin, the 1 ounce Silver Maple Leaf coins cost $29 per coin. To the Royal Canadian Mint, both the wildlife series coins and the maple leaf coins are investment coins (bullion value plus small premium). But I knew that collectors would want this coin and that this would add to the coins value. I have done the same with the 2011 Grizzly Bear coin and the 2012 Cougar coin. In fact, on the day that I purchased the Cougar coins, the 2012 maple leaf coins were on 17 cents per coin cheaper. I am predicting that the Grizzly Bear coins and Cougar coins will not do as well aa the Wolf coins, but they will do much better than the maple leaf coins.
Libertad asked: "why would you hoard "specialty" items when the normal bullion is much cheaper"?
1. The regular maple leaf coins were $29 per coin and the wildlife coins were $31 per coin. So, the difference in price was minimal.
2. Although there was only $2 more per coin for the wildlife coins, the potential for larger returns was much greater. This proved to be the case. At the time of purchase the 2011 Timber Wolf Bullion Coin cost $2 more than a 2011 maple leave investment coin, today the 2011 Timber Wolf Bullion Coin is worth $20 more than a 2011 maple leave investment coin. The additional increase in value is due to the collector value of this coin.
Libertad said: "The person who buys the whole box is a hoarder". I would claim that this is not the case. I am an investor. I put down $15,500 for 500 coins and I held onto them until the price was right. I believe that the collector value of the 2011 Timber Wolf Bullion Coin has already reached its potential. Future changes in value will be a result of changes to the price of silver. Therefore, I made arrangements to sell all 500 coins tomorrow at $57.77 per coin less 2% (fees) = $56.61 per coin - $31.00 (original purchase price) = $25.61 (income per coin) x 500 coins = $12,805 (82.6% profit in 14 months). This was an investment ... not hoarding. It is the same as if I had purchased 500 shares in a mining company and sold them when the price was right.
I shared this example because this particular posting was discussing investing in gold versus investing in silver. Also, throughout this forum, there are many postings regarding coin investing versus coin collecting. My point is that while sometimes a coin collection can become a coin investment, I believe that is more by chance than by design. For the most part my coin collecting is completely separate from my coin investing. To be a good investor takes time. It takes careful analysis and understanding. There is some gamble with every investment, but it is far safer than rolling a dice or drawing a card. There is a lot of potential to profit from investing in silver, especially silver coins. You just have to find the right coins. Sometimes I pick a big winner, sometimes I pick coins that make modest gains, and I do not want to talk about the losers that I have picked. The main thing is that I have gained more than I have lost.

Silverhawk74
You have stated it quite nicely.

coinvet,

My only question is where/how you expect to actually sell your 2011 Timber Wolf Coins at or near the current "value" of $58 per coin? A dealer will certainly pay far less since they need to make a profit. Selling on ebay costs a lot of money in fees. Do you have a source that will buy all 500 from you at once for $29,000? If not, your projected profit may be a bit illusory.

Lately, because peeps buy proofs based on that idea, BUs often are worth more, due to lower mintages.