-
Essay / Reasons to Invest in Silver
Precious metals provide long-term assets whose prices have grown steadily for hundreds of years, and these prices are directly linked to inflation, growing rates and increasing demand. The last precious metals rally took place in the first half of 2016. The main macroeconomic factors responsible for the precious metals rebound are the risk of debt crisis and deflationary pressures. Silver (or argentum (Ag) in Latin) has many benefits. There is no counterparty risk, meaning there is no need to enter into a complex commercial contract involving various regulatory arrangements, partners or risks, to hold money, as in the case of bonds or stocks. Silver or gold, like precious metals, is not in short supply. These are physical assets that can be held in real value and allow for long-term investment with stable growth. These metals have been used in currency in historical eras and have significant value. These have revalued over time, which does not happen in the case of paper money. Say no to plagiarism. Get a tailor-made essay on “Why violent video games should not be banned”? Get an original essay The world is becoming more and more dependent on paper money, debit cards and digital transactions where one cannot exclude the risk of crisis or loss due to unforeseen events. factors, such as changes in foreign exchange standards, economic crisis, bank defaults, downturns, etc., while physical silver or gold are assets that can be held or transported elsewhere, and wherever you get the same value for these metals. the price of silver is not very high, which justifies investing in it for diversification purposes. It is reasonably priced compared to other precious metals and some investors hold huge volumes of the metal, which has resulted in excessive growth over the past 10 years. In bull markets, silver sometimes performs better than gold. Between 1970 and 1980, gold gains were 2,328 percent, but silver returns exceeded 3,000 percent. From 2008 to 2011, gold's gains reached 166 percent and silver's gains reached 448 percent. Global silver stocks are falling but demand is increasing. Most public treasuries do not hold large amounts of money. Only a few countries in the world, such as the United States, China, Mexico, and India, hold large amounts of silver. Global inventories of government-owned silver have fallen 73 percent in recent years, even as demand from factories has increased, mainly for solar panels and batteries. electrical conductivity and reflective properties. The highest percentage of silver is used in electronic products, batteries, solar panels, biocides, etc. At least 1/3 g of silver can be found in cell phones and the demand for phones is expected to increase in the coming years, which will increase demand. for the money. Self-heating windshields on some new vehicles have ultra-thin layers of silver that prevent the glass from freezing. It is used in photovoltaic cells and as a catalyst for the production of certain chemicals, plastics, etc. Keep in mind: this is just a sample. Get a personalized document from our expert writers now. Get a Custom Essay Silver mining production is decreasing and its secondary supply is also decreasing.