Silver Investment

Investing in Silver

Many novice and seasoned investors spend a good deal of time deciding between buying silver bullion or gold. However, at Sharps Pixley, we often advise our customers that owning a little of both is a good course of action. Gold offers investors a buffer from economic upheaval; however silver is a considered more of an unpredictable investment.

While both metals are very popular investments, silver is a different beast to gold. Firstly, silver is not VAT exempt, but, due to fluctuations in the silver price within the market, it is capable of reaping big profits. Owning both, therefore, offers the stability of gold and the money-making potential of silver.   

Why Should I Invest in Silver?

It’s true that silver doesn’t offer the security that gold affords due to the market volatility. However, as we’ve mentioned, these deviations provide more frequent opportunities to buy and sell at a profit.

For example, if you purchased a silver bar worth £12,000 incl. VAT in 2008, you could have potentially been selling it in 2011 for £33,000 as the prices increased by 233%.

  • Long-Term Investment – Silver bars and coins are subject to 20% VAT. This is what often turns investors to gold. But, silver investment is longer-term and should ideally be kept for a few years. In recent years though, market prices have performed particularly well, and it is believed that holding on to your investment for little over 12 months will be enough to recoup your initial VAT outlay.
  • Portfolio Variation – Owning tangible items can provide investors with an active form of diversification. Therefore they can spread the risk and further protect other investments.

How Can I Store My Silver Investment?

Physical ownership of your silver is one of the biggest advantages of investing in silver bars and coins over other forms of investments; however, storage should be a big factor in your decision-making process, even before you buy.

Basically, there are four storage options available to you: safe deposit boxes, bank storage, home storage or creative storage. Although we provide a safe and secure safe storage option here at Sharps Pixley, there are pros and cons for each option, so you should be clear on how you intend to store your investment from the beginning.

How Can I Buy Silver?

Buying silver online with Sharps Pixley couldn’t be easier. Our quick, simple and secure online bullion store has been created on the basis of years of experience and a belief that trust and communication are two of the most important qualities that people look for in business; especially important given the nature of the products we sell.

We’re committed to ensuring that all of our customers are given the right advice to ensure their investment targets have the best chance of coming to fruition. Our website also allows you to track the goings on in the market, which will give you the knowledge needed to buy and sell at the best moment – particularly important when silver is the commodity in question.

Deciding to buy silver bullion is a big decision and sometimes not being able to talk face-to-face with someone who knows their stuff is often a dealbreaker. So, why not pop into our London, St. James’ street showroom to take advantage of our knowledge and take a look at our vast range of products in person?