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How to buy silver bullion

Investors who buy precious metals have an affinity for gold, but often prefer to diversify their portfolio by buying silver bullion in the form of bars and coins. Silver is gaining ground as an investible asset class. There are a few reasons for this. Currently, the price of gold is almost eighty times higher than the spot price of silver. Investors see this as an opportunity to get more bang for their buck, as they can purchase a lot more silver for the same amount of money that they would have spent for gold, whether it be gold bars or gold coins.

Read our FREE 7 considerations cheat sheet before you buy silver bullion

Silver on the rise….

Earlier, investors seemed a tad bearish about silver, as the prices never rose as per their expectations. However, that may well change this year as investment analysts believe that silver may well attain $20 per ounce. The current price is around $16 an ounce. This belief is based on the fact that industrial demand for silver is likely to soar, as silver is a much in demand commodity as a conductor of electricity. Innovations we are likely to see in the near future, including electric cars, solar technology and the increasing volumes of IT equipment. Mine production of the precious metal has collapsed as resources are fast diminishing, impacting supply. Many of these factors seem to be the reason for investors to turn bullish on silver.

So, how can you buy silver bullion and how do ensure its genuineness and who should you go to? Firstly, you need to know about the bullion you are buying.

buy silver bullion
Silver bars are an equally preferred form of silver bullion as coins

Buying silver bullion

Of course, one of the surest ways to ensure peace Insider's Guide to gold and silverof mind when buying bullion is to purchase it from a reliable dealer. If you’re unsure about your dealer’s reputation, call us to speak to one of our investment advisors. The first port of call when checking the authenticity of silver bars is mintmarks. Every silver bar would have its mintmark, the mark imprinted by the producer. Go through the mark carefully, comparing with images of similar marks from the same producer. Check details like fonts, designs, etc. If any element or part of the mark isn’t there, it’s cause for concern. If there are no markings, it could well be that the bar is counterfeit. The markings on the bar should also denote the weight of the bar, its purity and its serial no. When checking coins, be sure to check for the mintage year as well as the denomination.

Identifying genuine silver coins

Bars are fairly standard, however, coins have designs and sizes that are hard to copy. The edge finish of coins was developed to prevent counterfeiting. Coins have different types of edges, depending on the design. These range from smooth, letterings, ridges, reeds, etc. If the coin is a fake, chances are that it will have poor workmanship, as forgers rarely invest in the kind of expensive infrastructure owned and operated by the top Mints in the world.

Devil’s in the detail

Another point to note is that silver is a dense metal. If another metal has been used to make the silver coin, the size wouldn’t be right. Referencing the exact weight and size is an important exercise when investing in bullion. This helps you to check the data when you measure and check the coins after they arrive. All it takes is some inexpensive equipment like a set of Vernier callipers and a jeweller’s scale. There’s even a device called a Fisch tester that measures and weighs your coins for genuineness.

buy silver bullion
Knowing your silver bullion is really important before you buy

Conductivity test

Here’s a test that works mainly for silver bullion. Silver is a highly conductive metal and transmits heat very easily. In order to test your coin to see if it’s genuine, place a cube of ice on your coin. The coin will start transmitting heat to the ice cube instantly and this will be visible as the ice will start to melt. In the event of a slow melting or no reaction at all, the coin is most likely a fake. Silver bullion may also be tested using an acid test kit. The acid should be applied to a very small area, almost like a dot. A change of colour to red, brown or green confirms that the bullion is genuine.PHYS01_Animated_Gif_2_MPU

Call us to buy genuine silver

When you buy from, you can rest assured that the bullion is 100% genuine silver. We are London-based and certify each and every silver bar or coin (such as silver Britannias) that we sell. We don’t just sell bullion, we advise our clients on the right strategy to buy precious metals to maximise returns on investment. Our advice covers every aspect of your purchase, including when you should buy, how much (including bulk buying) and for how long you should hold your investment.

Of course, the return you can make on your purchase depends on international prices of silver and which the market moves. Nevertheless, by speaking to our UK-based investment advisors you are likely to get sound advice that’s based on solid research and knowledge. So, call us right away on 020 7060 9992 or email us and one of our silver experts will be in touch with you right away to discuss your requirements.


Image credits: Saga Sarkar and Pixabay

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