Silver Prices - Overview of silver prices and its ratio to gold

Investments in precious metals including in silver are primarily popular for being “crisis proof” and are generally safe which can not be claimed for stocks and other investment options which in turn provide greater profitability. However, investment in precious metals can be very profitable as well.

Silver has been a popular form of investment since the ancient times, while its long history on the financial sector provides a good insight into fluctuation of silver prices. Silver prices generally track the gold prices which means that prices of both precious metals are in certain ratio which might greatly vary. The price ratio between gold and silver was 1:15 in the 19th century which means that one ounce of gold was equal to 15 ounces of silver but today the ratio is about 1:60. For that reason many financial experts are convinced that silver is greatly underestimated and that the ratio between both precious metals will change in favor of silver in the future.

Low risk or risk free investments such as silver investments are widely believed to bring little profit and only protect your money from inflation but silver charts from the last 10 and 5 years clearly indicate that that is not the case. Silver price in the last five years increased for 280% and for 428% from 1999. One does not have to be an expert to see that silver investment in the last decade was more profitable than the vast majority of other forms of investment.