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Silver Bullion Exchange Traded Funds (ETFs)

Silver Bullion Exchange Traded Funds (ETFs)

Stock market investments can seem a little scary nowadays. With the market so volatile, many people have lost huge percentages of their stock portfolios in recent years. No wonder the market can induce so much fear!

However, the stock market doesn’t have to be as scary as many people believe it to be. When invested partially or fully (dependent upon age) in low risk, stable stocks, bonds and ETFs, we can all feel a little more in control of our retirement futures. Let’s take a look at one of these types of investments, Silver Bullion ETFs.

The Exchange-Traded Fund

Let’s dive into this financial term by first defining the ETF, or Exchange-Traded Fund. The ETF is an investment type that allows you to purchase shares of an asset without actually taking possession of the physical asset. This can come in handy in a number of investments; oil, for example, is worth a lot of money, but you wouldn’t want to store barrels of it in your house. If you were to purchase an ETF in oil, you could reap all the benefits of oil investment without the hassle of storage.

The same is true for silver bullion investments. Silver can be worth a lot, but storing the precious metal can bite into your profits. For example, renting a huge safety deposit box, purchasing a large safe, or allocating a room in your house to store all of the silver bars and coins can become quite expensive and cumbersome.

Silver Bullion ETFs Save the Day

Thankfully, Silver Bullion ETFs allow you to buy silver in bulk without the storage hassle or the risk of robbery. When you purchase a Silver Bullion ETF, the physical silver is kept in a safe central location. Your investment is fully backed by the silver bullion, and you don’t have to lift a finger moving the bricks.

Other Silver Bullion ETF News

Of course, storing that silver in a vault costs money, so the holding company will periodically sell some of the silver to pay for the costs. This means that your investment will decrease slightly in value over time. Additionally, the Silver Bullion ETF is subject to commission fees, just like all other ETFs. When you buy or sell the securities, you will most likely be charged commission.

Even given the fees and commissions, Silver Bullion ETFs can be great investments. As with any investment, fully researching the product before purchase can bring you excellent returns over time. Silver has historically risen in value, so check out Silver Bullion ETFs today.

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