Which Is Better To Invest In? Silver Or Gold?

So far silver is the only one outta the gate. Just like in real life. Haha. J/k I hope.

I suggest that neither gold or silver are good as an 'investment.' Neither gives dividends or have income. Gold and silver are both good stores of value and should be purchased for either a hobby or a hedge or insurance against an uncertain economic future. Silver is useful and can move because of its industrial uses whereas buying gold specifically is very similar to transferring money to a different currency. Some would say it's a commodity but how many central banks stockpile corn? Anyway...

To change your question: Which one would I buy?
Given the ratio of gold/silver now, I'd choose silver. It's a more volatile ride than gold but I believe it has more upward potential.

Since pretty much all I own is silver, it wasn't a tough choice ;)

And yet, there is that pesky little 600% gain in gold in 10 years and about a 750% gain in silver during that same time. Hmmm. Not a good investment? Perhaps we can say that PMs are not always good investments but sometimes, they are! Off-hand, I can't think of a single investment that is good ALL the time, although there are a number of investments that are pretty darned good most of the time.

As to dividends, there are silver and gold mining stocks that do pay dividends. We can also sell a small part of our PM holdings from time to time if we want a "dividend".

Silver and gold do retain their buying power over time and sometimes increase substantially in price as well, so are a good store of value... unlike Federal Reserve Notes.

The bottom line seems to be that gold and silver do have a place in anyone's investing strategy but that it is up to each of us to determine what is appropriate for us.

Well put GerrodH and Ed_B!

As a long term investment, PMs are not historically the best bet. The key is feeling the swell before the storm, if possible. Short term moves is where money is made here.

I voted other. Generally, gold and other precious metals are a more difficult investment then more traditional investment vehicles like stocks and the like. Not saying that stocks will always be better then gold, but in terms of liquidity, it is a lot easier to find a buyer for stocks when you go to sell then it is for gold. Also, while gold has had an impressive rise in the past 5 years, the 30 years before that were extremely under-performing.

Get both

It helps to compare apples to apples here. If you buy a physical silver or gold ETF, it is no more or less difficult to sell than any stock or ETF. A better comparison to holding physical gold is to hold physical stocks! As in having the stock certificates mailed to you. Once you have them, they cannot be sold via a few mouse clicks either. Selling gold and silver locally is not difficult. The only part that takes some time is finding who will pay the highest price.

Stocks most definitely are not the best investment all the time. It wasn't that long ago (4.5 years, to be exact) that the stock market plummeted 50%, wiping out trillions of dollars worth of stock equity. The metals were hammered too because people were scrambling for cash to cover their short positions or to buy more long positions as stock prices tumbled. During this market crash, cash was definitely king.