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 Replies: 13 / Views: 1,916 |
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Valued Member
South Africa
331 Posts |
I have a question about how much silver and gold you must buy per month?
5% 10% or more of your monthly income....remember we are junk status now so investing in savings accounts etc is a bit risky.
I want to hold it for about 30 years before selling
This is a retirement egg
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Bedrock of the Community
United States
10982 Posts |
Most people recommend 5% of your investment portfolio and 10% at most. That is different than of your monthly income of course. How much of your monthly income you should spend would depend of how much of it is disposable and how much risk you want to absorb. To me 5% would be a maximum I would even consider and 2% to 3% likely makes more sense for most people. If you have a $5k/monthly gross income then 5% would be $250 and that's a significant number.
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Bedrock of the Community
 United States
12477 Posts |
I agree with the above. Probably 5% maximum and it totally depends on your disposable income. For long term like that and considering how much you'll be adding if you purchase every month, I would recommend sticking to gold.
Just make sure you have a very secure storage solution.
In Memory of Crazyb0 12-26-1951 to 7-27-2020
In Memory of Tootallious 3-31-1964 to 4-15-2020
In Memory of T-BOP 10-12-1949 to 1-19-2024
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Valued Member
 South Africa
331 Posts |
Thanks guys I will see and go for the 1gram gold now very expensive, what is wrong with silver? Will it be a loss in the long run?
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Bedrock of the Community
United States
12477 Posts |
There's nothing wrong with silver and, personally, that's the only thing I can afford at the moment. But, if you're going to be investing for years in PMs, gold will take up way less space for equal value. I can't speak to volatility of the two.
Silver is worth about 1.3% of gold for the same weight (I think that math's right). So, you can imagine the amount of safe storage space needed for the two.
In Memory of Crazyb0 12-26-1951 to 7-27-2020
In Memory of Tootallious 3-31-1964 to 4-15-2020
In Memory of T-BOP 10-12-1949 to 1-19-2024
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Valued Member
South Africa
331 Posts |
Oh yes I see your point, it could be a storage nightmare, hard to hide and move half a ton of silver lol
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Moderator
 United States
54282 Posts |
Buying one gram of any precious metal is generally the worst method of INVESTING for future gains.
Be sure to take the price, plus shipping, you intend to pay for one gram of the precious metal and multiply that amount by 31.1 to get an idea of the price per troy ounce that you are paying. This is the amount to which the precious metal price must increase before you make any gain.
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Bedrock of the Community
Australia
21788 Posts |
A financial advisor suggested to me that around 5% of your investments in coins stamps bullion art works or similar is about right for good balance.
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Pillar of the Community
United States
4211 Posts |
If I wanted to buy and hold gold....I would not buy anything smaller than a 1/10 oz.
The premiums are sky high in most cases on the grams.
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Pillar of the Community
Japan
666 Posts |
Used to have more than 20% invested in silver coins (not bullion level) - liquidated some down the road as well as added some. For the last 5 years I have got the best return compared to other assets I have. Right now changing my collection so being in SELL mode mostly.
Know your goals and subject of investment if you want to make any money down the road.
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Pillar of the Community
Canada
1051 Posts |
The problem with PM's is that they pay no dividends. I love saving in physical PM's (which is really generally what "investing" in PM's is), but nearly without fail you will do significantly better trading in and out of paper investments, or buying good quality dividend paying stock and holding long term.
edit: sorry just realized the OP is in South Africa. I have no idea what I'd do being down there.
Edited by 1cent
06/17/2017 5:23 pm
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Pillar of the Community
Canada
3049 Posts |
PM's are simply a hedge against inflation... that's all they've ever really been good for with exception of a few blips on the radar....
If you're buying PM's for "investment" it's an ultra conservative approach that you probably shouldn't put a whole lot of eggs into said basket. The number of 5-10% of your total investment portfolio is very sound.
Your money should double every 7-10 years with correct investments. Depending on where you're at in your life, it may be wise to determine how much risk you can afford. From an investment stand point with your 30 year window... I would take that money and invest it in a few solid stocks that average 2-5% growth with a 2-4% dividend as a base, and utilize some more aggressive stocks with a small percentage of your portfolio and you'll be right as rain in 30 years!
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Pillar of the Community
Canada
9865 Posts |
The OP didn't say 5-10% of his portfolio which normally would be advisable.
He is asking us if he should put 5-10% or more of his income into PMs.
Probably not a wise move for most forum members, but like 1cent said "..... in South Africa. I have no idea what I'd do being down there."
Could be a situation like here in Canada where our currency is likely to climb vs. the $US and any gain in silver or gold will be wiped out or marginalized.
"Dipping" is not considered cleaning...
-from PCGS website
Edited by DBM
06/18/2017 05:03 am
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Valued Member
South Africa
331 Posts |
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Replies: 13 / Views: 1,916 |
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Posted 06/16/2017 11:18 pm
