The best way to bet on silver – MoneyWeek – 真的365赢多少个不给提_365滚球网站官网_365bet官网投注

Home / bckbet安全吗 / The best way to bet on silver – MoneyWeek – 真的365赢多少个不给提_365滚球网站官网_365bet官网投注

Butwhataboutgold’s‘littlesister’metal,silver?

Silverinvestorshavehadamaniacalrideinrecentyears。

Lastyear,inApril,ithita31-yearhighof$49。

845anounce。

Thatwasshort-lived,andnowit’stradingatcloserto$28。

That’sstillwellaboveits20-yearaverageofaround$10?

Sodoessilverlooklikeagoodbetnow?

Thebiggestdifferencebetweensilverandgold

I’mnotaskeenonsilverasIamongold。

Foronething,it’smorevolatile,whichisnevergoodforthenerves。

Butthemainreasonisbecauseit’snotapure‘monetarymetal’play。

Ilikegoldbecauseitisausefulhedgeagainstcurrencycollapse。

Ithashistoricallybeenusedasacurrency,ortobackcurrencies。

Sowhenpeoplegetworriedabouttheintegrityof‘fiat’currencies(becausegovernmentswon’tstopprintingmoney,say),thengoldshoulddowell。

It’salmostlikeinsurancefortherestofyourportfolio。

Silverhashadamonetaryroleinthepasttoo。

However,unlikegold,thereareotheraspectstoworryaboutaswell。

Theproblemwithsilveristhatwhileit’samonetarymetal,it’salsoawidely-usedindustrialmetal。

Sowhencommoditieslikecopperselloff,andpeopleworryaboutindustrialdemand,silvergetshitharderthangold。

SowhileIknowthiswon’tbepopularwithfansofsilver,ifyou’relookingforahedgeagainst‘fiat’moneycollapsing,thengoldisthemetalforyou。

Silvershouldbeyoursecondchoice。

Havingsaidthat,Icanseeagoodargumentforholdingbothjustnow。

Here’swhy。

Theglobaleconomyisclearlyslowingdown。

JapaneseGDPdisappointedyesterday。

Britain’sinrecessionstill。

Europeisinamess。

EventheUSislookingmorefragilethanithasinawhile。

Themajorcentralbanks(well,exceptours)haveheldoffonprintingmoremoneyfornow。

TheUSisparalysedbypolitics。

TheJapanesecentralbankisascautiousasever。

Butmorethananythingelse,theywanttheEuropeanstodosomething。

IftheotherbanksprintmoneybeforeEuropedoes,theyriskanyburstofenthusiasmbeingswallowedupbyanotherpitofdespairopeningintheeurozone。

Sothey’recrossingtheirfingersandhopingthatEuropewillbeforcedtoact。

Theymighteventryanother“shockandawe”burstofco-ordinatedglobalmoneyprintingiftheEuropeanCentralBank(ECB)doesswingintoaction。

Thatsortofco-ordinatedcurrencydebasementwouldbegoodnewsforgold。

However,evenifthatdoesn’thappen,Isuspectthatgoldwillseeanotherburstofinvestorenthusiasmbeforelong。

BecauseiftheECBkeepssittingonitshands,andstockmarketslosefaithandtumble,thentheFederalReserveislikelytoloseitsnerveanddecideitsimplyneedstoprint。

Ifthathappens,thenI’dexpectsilvertobedraggedhigheralongwithgold。

AsFrederiqueDubrionofBlueStarAdvisorstellsBloomberg:“Themainnegativesarestillinindustry。

We’rewaitingformorequantitativeeasing,andthatwouldbereallypositive。



Noteveryoneagrees。

Hedgefundsareapparentlythe“leastbullishonsilverinalmostfouryears”,accordingtoBloomberg。

ButIwouldn’tworryaboutthat。

Hedgefundsprobablythinkofthemselvesasbeingthe‘smart’money,buttheevidencetobackthatupisthinontheground?

Sowhat’sthebestwaytobacksilver?

Whythismineristhebestwaytobetonsilver

BuyingphysicalsilverisnotasattractiveasbuyingphysicalgoldbecauseyouhavetopayVATonit。

However,asmycolleagueBengtSaelensmindehasnotedbeforeinhisfreeRightSideemail,youcansometimesbuyantiquesilververycheaplycomparedtothesilverprice。

Youcanalsouseanexchange-tradedfund(ETF),aslongasyoudon’tmindabitofvolatility。

Iwouldn’tspreadbetsilverthough。

It’spossible,ofcourse,butsilverissovolatile–farmoresothangold,platinumorpalladium,accordingtoBloombergdatathataddingevenmorerisktothepotbyspreadbettingitjustseemstobeaskingfortrouble。

Sotheseareallwaystogetexposuretosilver。

However,forme,thebestwaytobetonanotherrallyinthesilverpriceisviamininggroupFresnillo(LSE:FRES)。

Thecompanyistheworld’slargestproducerofsilver。

AsUSfinancialpaperBarron’snotes,itcandigsilveroutofthegroundfor$5anounce。

Withthesilverpriceupover$25anounce,thatgivesitaprettywidemarginofsafety。

Betteryet,andunusuallyforaminer,itpaysahalf-wayrespectabledividendyieldofaround2。

5%。

AsIseeit,you’rebeingpaidtoholdsilver,somethingyouwon’tgetfromthephysicalmetalortheETF。

Ifthesilverpricegoesup,Fresnilloshouldbenefit。

Ifitgoesdown,itwon’tbegoodnewsforFresnillo,butitwon’tbethedisasteritmightbeforsomeotherminingcompanies。

Andinthemeantime,you’regettingpaidtowait。

FresnilloisalsoafavouriteofMoneyWeekregularTimPrice。

TimwritesThePriceReportnewsletter,andhe’srecentlyreleasedavideopresentationIthinkyouwouldfindinteresting。

Youcantakealookatithere。

FollowJohnonTwitter?

||?

Google+JohnStepek



ThisarticleistakenfromthefreeinvestmentemailMoneyMorning。

SignuptoMoneyMorninghere。

Ourrecommendedarticlesfortoday

CouldBritainleaveEuropebeforeGreece?

AlltalkhasbeenofaGreekexitfromEurope。

ButcouldtheUKpulloutbeforethen?

MatthewPartridgeexaminestheforcesthatcoulddriveBritainoutoftheEU,andwhatthelikelyconsequencesofaBrixitwouldbe。

HowyoucantradethevolatileFTSE

Overthelastfewweeksthemarketshavetakenaturnforthebetter。

Butvolatilityremainstheorderoftheday。

BengtSaelensmindeexplainshowhisfavouritetradingtoolcouldhelpyouprofit。

MMfooter(onMMarticles)?

Thisarticleistakenfromourfreedailyinvestmentemail,MoneyMorning。

SignuptoMoneyMorninghere。