Asking to those that understand the ins and outs of the precious metal markets.
Wanting to drop $5K into precious metals. cheapest silver ounce is $30.61 which tells me I'm loosing $4/ounce because of the spot price. Similiar idea with gold. Help walk me through the idea of purchasing these items even though they are seemingly dropping in value as soon as I buy them.
Also, how would you divide your precious metal portfolio 20/80 gold/silver. 50/50? and is that by dollar amount or by ounce, i was thinking of buying 2oz gold, and 20-25 ounce silver. gold was going to be 1oz bars, while silver 1oz coins.
please help me make sense of this, I know our paper dollar is loosing value and will continue to do so.
EDIT/UPDATE: I pulled the trigger, and I put PedoJoes stimulus money into silver. Bought 140 ounces
Oh yes, I should have mentioned this in my other post. The price of physical silver compared to the completely fraudulent paper silver (spot price) is irrelevant. Physical silver is in demand, paper silver is not. It is in the process of breaking free from its paper chains (market manipulations). Eventually the price of silver stock (which has no real backing for most investors) and physical silver will separate completely.
This means that if you intend to buy physical silver and sell it back in a month if the price goes up, you are probably not making a sound investment. If however you plan to keep it until the Bankers no longer hold it hostage (hopefully sooner rather than later) then it is one of the best investments you can make. Though I hear lead is also popular.