American Silver Eagle Coins : Top 4 Reasons to Buy

Silver is real money. Most people don’t think of it as that but it is. What most people consider real money has no intrinsic value. You can’t even use it as toilet paper. It only has value because our government says it does and requires us to use it via legal tender laws.

While it’s true the US Treasury does mint silver coins they can’t do it anywhere near the rate that they can create new dollars. Now that we live in a digital age the monetary supply can be expanded with a computer entry instead of having to start up the printing press which allows the monetary supply to expand just that much faster.

When the Federal Reserve creates more money the money you have in your savings bank looses value. This happens because when the monetary supply increases the amount of goods and services don’t increase. When more dollars are chasing the same amount of goods and services then the price of those goods and services has to go up. This is why it is a good idea to buy silver because the Federal Reserve can’t create silver like it does paper money and so they can’t devalue silver like they do the US Dollar.

I have read that silver is more rare then gold and contrary to that I have read that gold is eight times more rare then silver.  Either way the price ratio between silver and gold is about 60 to 1 at the moment.  Meaning one ounce of gold costs is equivalent to 60 ounces of silver.  Some may conclude that silver is undervalued at the moment.  The lower nominal price makes investing easier for the average Joe as well.

What I mean by this is if and when hyperinflation ever occurs you will have a real store of value. I am not trying to scare you into buying silver but realize it is a possibility. I personally don’t agree with his assessment but internationally renowned investor Marc Faber believes it is a 100% certainty that the US will experience hyperinflation.

Even if you don’t believe hyperinflation will ever happen I suggest you consider buying silver bullion as a prudent addition to your portfolio. I have done my homework and American Precious Metals Exchange is by far the best price online.

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Disclaimer: I am not a financial adviser. Carefully consider your options before investing. I am a proud affiliate to the APMEX. Both links above are affiliate links.