How to Buy Silver: The Best is Yet to Come in 2013

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While gold, with its sky-high prices, gets most of the media attention, investors should be just as interested in how to buy silver.

Silver turned in a solid performance in the second half of 2012, rising from a June 28 low of $26.13 an ounce to its recent reading above $33.00. And, to steal a line from poet Robert Browning (or, if you prefer, Frank Sinatra), "the best is yet to come."

At least that's how Money Morning's Global Resources Specialist Peter Krauth sees it. He thinks the "poor man's precious metal" should set a new all-time nominal price record in 2013, potentially moving as high as $54.00 an ounce.

Krauth cites four factors in making this prediction:

  • The continued high reading in the gold/silver ratio, which indicates silver is undervalued relative to gold based on historical norms.
  • The prospect that four more years of President Barack Obama's policies will prove inflationary, devaluing the U.S. dollar and thus boosting the prices of hard assets like the precious metals.
  • Growing investment demand as more fund managers purchase the metal to back a growing number of new exchange-traded fund (ETF) offerings.
  • A continuing increase in industrial demand for silver, which is used in everything from solar-power generation and water purification to hygiene and specialized medicine.

Few other assets currently enjoy such broad bullish support – and that means now's the ideal time to either add silver to your portfolio or increase your existing level of exposure to the metal.

Here are a few tips on how to buy silver.

How to Buy Silver

As we told you in last week's story on how to buy gold, purists view holding actual physical precious metals like gold and silver as the only true means of hedging against inflation and gaining an effective long-term store of value.

Join the conversation. Click here to jump to comments…

  1. DoktorThomas™ | December 13, 2012

    How can one buy silver at the spot price?

  2. BoDidley | December 13, 2012

    I told you boys at Money Morning to stop forcasting silver prices. You guys dont know what TPTB have in store for 2013. No one buys silver at spot Dok. Cheers.

  3. Bilanx | December 15, 2012

    Best I've been able to do Dok is establish good rsltonship with good local coin & jewelry store that will sell to me for spot at close of NYC +3%.

    I pick it up in
    Person do no freight and no wait.

  4. Susan | December 17, 2012

    Why can't I buy silver coins from the US mint?

  5. Jack | December 18, 2012

    i will not invest in silver, no i wont, i dont care what anyone says, i like gold

  6. Bob Hamrick | December 22, 2012

    Silver Wheaton SLW – BUY whenever you can, order the shares out (i.e., get the stock certificates sent to you immediately. Do NOT leave them in "street name", as a bookkeeping entry on a brokerage house's computer. Ask the ex clients of MFGlobal (Gerald Celente, e.g.) how that's working for them.).

    GoldMoney – buy/hold/sell your "Phyzz" in a private vault in any of several foreign countries, "just in case".

    Ex EFHutton registered rep.

  7. Albertmorison | January 7, 2013

    Is there any special offer on purchasing a 100 silver coins at a time?????

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