Heads up – I did this personally – not recommending that you do necessarily, but for many this might be a good idea depending on what you define as “risk.” More below…
But for the first time in 3 years, I bought physical silver. Prices are low and I’m figuring that if this past weekend’s circus in Europe doesn’t motivate people to move just a portion of their savings from banks to gold, I don’t know what will.
Some notes from my visit to the bullion dealer:
- spreads are chunky. $5 on silver eagles for odd lot purchases. You have to buy 100 oz+ to start seeing some reduction or negotiate with your
dealer. (online you can get non bullion – ie “rounds” for smaller premium).
- numismatic coins are selling in some cases for a small premium. Saw St Gaudens gold coins selling for smaller premium and lower overall cost than a current US gold eagle
- Place was empty, though there is a snow storm going on:)
- Dealer told me it’s hard to get some supply
Interestingly, people tell me it’s hard to get supply and markup is high because of that but spot prices are down. Seems odd but that’s the way it is for now. I do think it’s a decent time to add to or start a position. I like silver here and you can start your precious metals savings with smaller dollar amounts with silver. Prices in USD could go lower from here but I think the world is smartening up to the idea that government can mess you up and that trusting fiat money, government, and central banks could cost you a lot.