Gina from Boynton Beach, Florida wrote us and asked: Why do you say to buy silver and not gold?
I prefer gold jewelry over silver and find that gold is second only to diamonds as my preference.
Response: Gina, your choice of diamonds prove that women are smarter than men.
Because, as the saying goes: “diamonds are a girl’s best friend” while man’s best friend is a dog.
And to prove the point, when things get really tough, see how much you’ll get if you try to hock your dog.
But to answer your question about silver, we advocate buying both gold and silver.
And it’s based purely from an economic investment standpoint.
We have a litany of reasons why we believe silver will out perform gold over the long haul, that we can’t possibly cover in an email.
If you are interested in them, go to our home page (HERE) and type in the search box (located in the upper right corner next to the Subscribe tab) Silver or Gold and you’ll see multiple stories about why you should own gold and silver.
And if you want more specifics then you can research our newsletter archives (HERE) with in depth research on many mining stocks and their returns on investment,
Speaking of returns on investment…last year at this time the price of silver was $33 per ounce and gold was $3,333 per ounce.
Coincidence?
Maybe.
And today the price of silver has been trending around $77 while gold remains steady around $4,700.
So, let’s do the math.
77 – 33 = 44
The profit of $44 divided by the purchase price of $33 = an impressive profit of over 133%.
Gold at 4,700 – 3,333 = 1,367.
The profit of $1,367 divided by the purchase price of $3,333 = an impressive profit of over 41%.
A gain of 41% in one year is outstanding.
But would you prefer 41% or 133%?
Stupid question, I know.
But everyone always focuses on Gold because it is sexy.
Meanwhile silver gets treated like the red-haired step-child longing for attention.
However, the facts remain that there is a massive shortage of silver that’s only getting worse by the day.
And most of that is due to the depletion of a majority of our weapons used in the war in Iran (“not really a war” Trump said).
Weapons, and ALL Electronics use silver.
And the miners can’t get it out of the ground fast enough to keep up with demand.
And even if the Iran war ended this week (it won’t) the demand is still there to replace weaponry, on top of the massive rebuilding of the destroyed infrastructures in the Middle East.
Keep in mind we haven’t mentioned the use of Silver in the build-out of AI centers over the next decade.
Or the fact that China has blown the doors off of the amount of silver they are importing…largest increase in history.
What do they know that we should know?
