Silver Vs. Gold Investment - Comparison between gold and silver investment
Both silver and gold have been highly valued precious metals since the ancient times and both have proved themselves in difficult times. For that reason many people face difficulties in which metal to invest. Gold was always considered more prestigious and was also more expensive than silver and that will certainly not change in the future. Besides that gold is not a subject to taxation, while silver is taxed. However, that does not necessarily mean that gold investment is more profitable than silver investment although everything seem to be in favor of gold at first sight.
Many financial experts are convinced that the value of silver is greatly underestimated and that its prices will increase more than gold prices in the future. The main evidence for their claims they see in the historical charts and ratio between gold and silver in the past. Silver prices track gold prices and thus both metals are in certain ration which is today about 1:60. However, gold/silver ration was 1:15 in the 19th century. This means that 1 ounce of gold could buy 15 ounces of silver in the 19th century, while today one ounce of gold is equal to 60 ounces of silver. For that reason many people are convinced that the gold/silver ratio will change in favor of silver in the near future. In this case silver investment would definitely be more profitable than investment in gold even if gold is more expensive and more prestigious.