Hi I am new to this forum. So firstly I would like to thank all the board members for their insights into the stock market. It has helped me a lot in evaluating the firms. Going through this journey I realized how important it was to understand the basics economics(the boom and bust cycle),how central banks work, how interest rate affects and how commodity plays a very important role. So I am starting this thread with an aim to help get better insight into different areas of investment and discuss ideas which might have external effects in this market. Also when the stock market fails what are the different avenues available in this market for investment.
I had done some digging on Silver and would like to share.
My 20 cents!! SILVER.pdf (886.7 KB)
Please feel free to join in…
I hope it helps start a different chapter on this forum.
Prepared a small post on silver, to understand it’s return potential. Though not an expert on the subject, prima facie, it appears attractive. Silver can be invested as physical silver or e silver.
Investment case for Silver - Industries such as EV, Solar panels, Electronics, Semi Conductors - require silver as an important metal. And importantly in that much - the demand for silver differs from that of gold - gold being the primary metal for the precious jewellery markets although the two metals do show a simlar trajectory in their respective price movements.
The metal is facing a structural supply deficit, and now for four years in a row, global demand has outpaced supply, with 2024 seeing a shortfall of 149 million ounces - roughly 15% of total available silver. and this is despite a 1.7% on-year increase in global silver supply to 1,015.1 million ounces. This marked the fourth consecutive year of a silver market shortage
Though China as an economy and Chinese Investors are imp influencers on the prices and any economic uncertainties in their economy could weigh on prices.
Disc: Invested and hence biased - do your own due diligence
There are various options. My preferred route is through Silver ETFs of Fund Houses - there are quite a few since last couple of years - one can evaluate basis parameters such as Expense and Exit Ratios, AUM, NAV, etc
Another point to mindful of is that ETS and FoF ETfs have different tax structures which also influence the choice.
