Unit prices of silver are a fraction of gold prices-today’s silver price is $24 per ounce while gold is $2,064 per ounce. Gold prices tend to move in the opposite way, rising when the economy is tough and declining during boom times. During economic expansions, silver prices tend to rise along with GDP and markets, while during recessions silver prices generally fall as the economy slows. The price of silver tends to track the performance of the overall stock market and the economy. That said, compared to gold silver has many more industrial and commercial uses-around half of the silver traded in markets is used commercially, in applications ranging from dentistry to electronics. Beyond their use as stores of value, they have relatively few industrial uses. Precious metals like gold and silver have low commercial utility.

Here’s how you should understand their key differences. Silver and gold are among the most popular alternative investments on the market, drawing more investor interest and trading liquidity than other precious metals. Typically they invest in a diversified basket of silver assets, including stocks, physical bullion or futures contracts. There are more than a few thematic exchange-traded funds focused on silver.

Just be warned that the prices of silver stocks may be only loosely correlated with the price of silver. Owning the shares of publicly traded silver mining companies is an easy way to get silver exposure without holding physical metal. Futures contracts can be easily sold prior to expiration. Silver futures let sophisticated investors speculate on prices and hedge their wider portfolios, providing exposure without the hassle of handling physical metal. Futures are derivative contracts where a buyer agrees to purchase a set quantity of silver at a predetermined price on a future date. Both weigh in at one ounce and are guaranteed to be 99.9% pure silver. Popular choices include the American Silver Eagle, the official silver bullion coin of the U.S., and the Canadian Silver Maple Leaf, which is Canada’s official silver bullion coin. There are a variety of silver coins available for purchase on the market, including both new-issue coins and collectible coins. Lower-weight bars may be easier to sell in a challenging market than larger bars. You can buy investment-grade silver bars of 99.9% purity in weights ranging from 1 ounce to 100 ounces. Here are the most common ways to invest in silver, from owning bullion to purchasing the shares of companies involved in silver production. Some investors choose silver to hedge their other holdings, while others see it as a store of value that helps in uncertain times. Silver has long been considered a reliable asset to help diversify your investment portfolio.

Buy silver coins at spot