Silver is both a monetary metal and store of wealth – as such older than gold in fact – and a metal that is critical to a multitude of industrial applications. Silver is not only historically cheap relative to gold, but it is headed into a major supply deficit. For most of civilized human history, the gold silver ratio has been below 16. The ratio of ounces silver and gold pulled out of the ground currently is around 9. During the Roman Empire the ratio was 8 to 1. From the late 1600’s to 1900, the gold/silver ratio averaged just over 16. Currently the GSR is 75. The only conclusion to draw from this is that silver is one of the most undervalued hard assets in the world right now.
Kinesis Money invited me onto their podcast to discuss the impact of retail silver buying on the market; the future of gold and silver premiums and industry predictions of a severe silver supply deficit in years to come:
The Mining Stock Journal is a bi-weekly newsletter that presents high rate of return investment ideas in junior exploration mining stocks as well as trading opportunities in large cap producing mining stocks. Currently my portfolio of recommendations includes multiple silver junior exploration ideas, some of which will be home runs (I recommended Silvercrest Metals at 16 cents in January 2016 and Discovery Silver at 30 cents in in August 2019. I’m currently working on what could be a home run opportunity in a junior looking to advance a silver-copper project that could be a company-maker. You can learn more about this newsletter here: Mining Stock Journal
Note: I do not take compensation in any form from the companies I present and recommend. I invest directly in many of them in my personal stock account and indirectly through a bullion and mining stock fund that I manage and in which I’m invested. I put my money where my mouth is.