Why Vintage Silver Bars are A Better Hedge Against Inflation Than Other Investments

July 28, 2022


silver diversification

Investing has never been more popular and, thanks to technology, more accessible. This means that the average person can invest in nearly anything today, much easier than just 20 or even ten years ago. One of the benefactors of this is silver, poured silver bars, in particular, leading to silver becoming one of the most strongly trending investments or wealth safe-havens.

People still wonder whether it is worth it and if it will be a good investment for their needs. This greatly depends on investment objectives, risk tolerance, and the diversity of your assets. Silver has some drawbacks, however, such as inherent volatility and storage requirements if you retain ownership. It remains one of the better ways to hedge liquidity against inflation, which is what we’re exploring here.

Why Silver Is Ideal To Guard Against Inflation

Silver has always been a solid investment vehicle to park assets in. It has been around for just about all recorded history, and it is often considered a more accessible and liquid investment than gold. While it is a commodity, it’s also still relatively limited in supply but more stable than some other investment vehicles. Other primary reasons why silver is a solid guard against inflationary decay include:

●Silver, while somewhat volatile, is far less volatile from a historical standpoint than many other modes of wealth storage. This means it is one of the most conservative investment options and a great option during uncertain or even outright unstable economic times and perpetually rising prices.

●The relatively low volatility of silver lends to its being called a “safe haven” for investors, making it one of the most recession-proof investments available.

●Since it can withstand erratic swings in economic steadiness and turmoil, silver can be a valuable way to diversify an already robust portfolio. Other investments may find they are more susceptible to market changes and economic jitters and can benefit by diversifying into silver bars.

●It’s not cash, but it’s still very tangible and far more liquid than other choices. Even people without considerable savings can put that money into smaller silver bars and help protect it against savings account inflation decay.

●Silver is used both as a precious and rare metal and has countless industrial applications, many of which are in the tech sector. Using a currency and an industrial component will only become more valuable as the original supply depletes.

Does Silver Have Any Risks?

Of course, just like any means of wealth storage, there are risks. These risks may not be considered significant to many, while they could be regarded as deal-breakers to others. Even though silver is solid protection against inflation, there are some potential complications you may want to consider before jumping in. A few of these risks include:

●Silver, like other precious commodities, is a great way to add diversification to a portfolio while also guarding against loss. It’s a pretty limited supply, though, which can cause price-shifting volatility, and it doesn’t take much money to move the market.

●When you buy silver through a broker or a dealer, as most people will, you will pay the current price plus an additional premium. This means shopping brokers for the ones with the lowest fees can save big money.

●Silver is often the target of fraud, often committed in the form of “guaranteed return” brokers, brokers that misrepresent the risk of commodity investing, low-quality refineries & mints, and people promising a significant return in a short time, or any similar tactic.

●There is the risk in the future that material alternatives to silver could be discovered or created, which would significantly reduce the demand for silver from the industrial sector. This would impact the price heavily for quite some time.

Why Are Vintage Bars Better Than Investing In Silver Companies?

First, being able to own the tangible bars is a much more effective way of battling inflation while remaining relatively liquid. Possessing your silver bar means you’ll be better positioned to take advantage of that liquidity if needed. You can easily take a bar of silver to the assay or trade it, which cannot be done as quickly with stocks or even physical stock certificates.

Additionally, if you have stock in silver mining companies, silver refineries, or even managed funds revolving around silver, you only own shares in that organization or fund. If the market dives, those companies’ stock prices will go along with it, which can cause a dramatic loss in value. Silver is not correlated to asset markets, so it is often unaffected by movements in those markets.

vintage silver smalls stack

Finally, silver is durable. In the event of a disaster or catastrophe at your home, your silver should remain relatively unaffected. Many physical investments are subject to damage or loss in certain circumstances; assets like cash can become wet, can rot, can burn, and mice and pests can even eat them. Silver is relatively durable and won’t be affected by flooding or similar damage, and can even survive fires. Silver is pest-proof and is heavy and substantial enough to discourage loss.

Are There Any Downsides To Silver Bars?

There are some minor drawbacks to poured silver bars, and most people will be able to cope with them quickly enough. The first is that silver can be expensive, which, while accurate, isn’t true to the degree that the same is true with gold, for example. The other issue is that once you have a substantial silver investment or collection, it can take up significant space and contribute large amounts of weight, making home storage sometimes impractical for those with large sums invested into physical silver.

Hedge Against Inflation With Silver Bars

Silver has been a popular investment vehicle for many years but is generally out of reach for ordinary people. Now that modern brokers and dealers are changing this, it is becoming much easier for the average person to help guard their money against the damage done by inflation. Inflation is getting worse every day, but silver remains a firm insurance policy against your money losing its value.


What is spot price?

The spot price is the current market price of a precious metal. This is the base rate at which you can buy or sell gold, silver, platinum, and palladium in bullion form.

What is the difference between the spot price and premium?

Spot prices are simply the current market price of a precious metal. Premiums, however, represent how much more you have to pay over spot. There are several excellent websites to check the current spot price at any given time. Some of our favorites are below:



SD Bullion – Here you can find specific Precious Metals and Silver spot prices for any specific day in history!

Also, it is important to remember that the smaller the size of the silver bar or silver coin, the HIGHER the premium will be. For example, if the silver spot price is $20.07, the prices of common silver bars may look like this:

1-Ounce Silver Bar – $31.00 (~$10/ounce premium)

5-Ounce Silver bar – $135.00 (~$7/ounce premium)

10-Ounce Silver Bar – $250.00 (~$5/ounce premium)

100-Ounce Silver Bar – $2300.00 (~$3/ounce premium)

Of course, premiums fluctuate and can vary greatly when it comes to rare or highly sought-after vintage silver bars.

Silver bullion

Is it better to buy silver dollars or silver bars?

Because of the way silver is priced, you will almost always pay a premium for bars. This means that when buying bars, you are paying more than just the spot price of silver. The premium is the amount you pay above the spot price. With silver bars, this premium can be quite high. For example, if a bar of silver costs $30 over the spot price (the premium) and you are buying a 10-ounce silver bar, you will pay $300 above the current spot price for your silver investment. Premium varies on the desirability and rarity of the silver bullion that you are investing in.

What’s a reputable brand of silver bars or silver coins?

There are many reputable brands of silver bars and coins from which to choose. However, the most popular and recognizable brand is the American Silver Eagle. This coin was first minted in 1986 by the United States Mint and is still being minted today. It contains one troy ounce of .999 fine silver. However, there are many other popular brands of silver bars or coins that were (or are) produced by independent silver refiners. Some of the most recognizable refiners are Engelhard, Johnson Matthey, Royal Canadian Mint, PAMP Suisse, Silvertowne, and the Perth Mint, just to name a few.

Johnson Matthey 100 oz

How much is a bar of silver worth?

A starting point for the base value of a silver bar is the current spot price. If the current spot price is $18.73, a 1-ounce silver bar will have a silver value of $18.73. However, depending on the collectibility of the silver bullion you are pricing, there will be a premium cost in addition to the pure silver value. The 1-ounce silver bar could cost $50 or even $100+…ultimately, the rarity and provenance will determine the final value.

The great thing about collecting vintage silver is that the investment is protected at the base level by the underlying silver value. Yet you still retain upside growth opportunities if the bullion is a true collectible. As a collectible, the actual value can increase in time, far outpacing the underlying increase (or decrease) in silver prices.

Where can I buy silver bars?

There are several reputable dealers online that are trustworthy and safe to purchase your gold, silver or precious metals bullion from. Here are some of our favorites:


JM Bullion

SD Bullion

Also, local coin shops (LCS) are great places to find deals on vintage silver bars or coins. Be sure and check out your LCS regularly to have the best chance of finding a real deal on vintage silver bars that may have recently been sold to the shop. Sometimes these bars can be bought for near spot prices while having a huge premium value based on the collectibility or historical value.

Other sources of great deals on silver bars for sale is Ebay and specific vintage silver bar Facebook groups. As long as the seller is reputable, with good feedback, Ebay and Facebook are great secondary market options. They always have a huge silver bar inventory to choose from as you build on your silver bullion investment.

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