A complete guide to buying, selling and investing in silver

Learn about investing in silver sources with our how-to guide.

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Silver has been a valuable commodity for hundreds of years and while its purposes have changed throughout history it has never lost its place on the market. In part due to its inherent malleability silver has managed to adapt to the changing times, keeping its value high even today.

This page will discuss different ways to invest in silver and the risks that you may face.

Invest in silver ETFs

Rather than trusting your money to the stocks of one or two companies, ETFs offer the chance to invest in a basket of assets. You can learn more about ETFs with our comprehensive guide.

Compared to other popular investment methods ETFs are simpler and more accessible. ETFs can be bought and sold in a similar way to stocks but remain less vulnerable to market fluctuations due to the diverse range of assets that form them.

ETFs are perhaps the best choice for newcomers looking to start investing; there are a number of ETFs to choose from representing a scope of different companies.

Pros

  • ETFs are one of the most reliable options for investors. While they still come with risks, they are much more resilient to market conditions.
  • Gain far reaching access to silver assets at reasonable prices.

Cons

  • Because ETFs are made up of a collection of assets you lose some of the control you might have had over an investment in a single stock.

Compare brokers to buy silver ETFs


Invest in silver futures

By investing in futures you are agreeing to buy stocks in a commodity at a set price, which you will then receive some time in the future. The idea is that you end up buying stocks at a lower price than they would otherwise be, but this is heavily dependent on market movements.

Being so vulnerable to market volatility makes futures risky. Some luck and a good knowledge of the market futures can bring you large returns, but on the other hand you may make a loss. If you’re new to investing you might want to learn the ropes first before considering futures.

Pros

  • Under the right conditions futures can yield solid rewards for their investors.
  • Futures give you straight ownership over your stocks.

Cons

  • Futures are a real gamble and if you make the wrong choices you could potentially lose a lot of money.
  • Futures only last for a set period of time, if you fail to use them within this period they expire.

Compare brokers to buy silver futures


Invest in silver stocks and shares

Investing in stocks is a well-known method for approaching the market.

Silver has a number of uses which make it a desirable asset in many modern industries. Its popularity makes it an easy commodity to invest in, with many companies offering their stock and a number of brokers and advisors willing to sell them.

Pros

  • A large variety of stock to invest in.
  • Control over your investment.
  • Leave the market when you want.
  • Tried and trusted way of entering the investment world.

Cons

  • While safer than futures, stocks are still vulnerable to market fluctuations. Valuable metals can be especially volatile, and prices may vary wildly for no real reason.

Compare brokers to buy silver stocks and shares


Buy silver coins and bullion

Rather than investing in silver stocks, you may decide to invest in physical silver. Ranging from an ounce to five or more kilograms, you can choose to buy coins or bullion to sell on your own terms.

While you have full control over the asset, buying physical silver is a longer-term investment. Depending on the amount you buy you could be waiting some time to sell it. Like other investments, physical silver prices are still influenced by the market.

Pros

  • Direct control over your asset.
  • Finally selling your assets can bring great returns.
  • Silver looks pretty in a pile on your floor.
Cons

  • It can take a long time to find a buyer for your assets.
  • Buying physical silver makes you vulnerable to fraud.

How much is silver worth now?

Is silver a safe investment?

As mentioned above, silver is a staple material for many modern industries and there are a number of routes available for investing in it. However, regardless of which way you approach it, your investment will inevitably come with risks:

  • Fluctuating prices: Valuable metals have a tendency to fluctuate in price over small periods of time, sometimes with no real cause.
  • Storage: Finding somewhere to store physical silver can be a hassle, and storing it with a broker will come with a fee.
  • Fraud: While it is tempting to look for the best prices, if it is too good to be true, it probably is. When buying physical silver, trade with reputable dealers to avoid being fleeced.
  • Political and environmental events: Political and environmental issues can make the mining, refining and trading process more expensive for companies, causing price fluctuations.

Compare these providers for access to silver ETFs and more

Table: sorted by promoted deals first
Data indicated here is updated regularly
Name Product Price per trade Frequent trader rate Platform fees Brand description
Fineco
£2.95
£2.95
Zero platform fee
Fineco Bank is good for share traders and investors looking for a complete platform and wide offer. Your first 50 trades are free with Fineco, until 30/09/2020. T&Cs apply. Capital at risk.
IG
0% commission on US shares, and £3 on UK shares
From £5
£0 - £24 per quarter
IG is good for experienced traders, and offers learning resources for beginners, all with wide access to shares, ETFs and funds. Capital at risk.
Hargreaves Lansdown Fund and Share Account
£11.95
£5.95
No fees
Hargreaves Lansdown is the UK's number one platform for private investors, with the depth of features you'd expect from an established platform. Capital at risk.
eToro Free Stocks
0% commission, no markup, no ticket fee, no management fee
N/A
Withdrawal fee & GDP to USD deposit conversion
eToro is good for social trading - letting you mirror the portfolios of other traders. Capital at risk. 0% commission but other fees may apply.
Interactive Investor
From £7.99 on the Investor Service Plan
From £7.99 on the Investor Service Plan
No transfer fees or exit fees. £9.99 a month on the Investor Service Plan
Capital at risk.
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Data indicated here is updated regularly
Name Product Minimum deposit Maximum annual fee Price per trade Brand description
Hargreaves Lansdown stocks and shares ISA
£100
0.45%
£11.95
Hargreaves Lansdown is the UK's biggest wealth manager. It's got everything you'll need, from beginners to experienced investors. Capital at risk.
Interactive Investor stocks and shares ISA
£100 or £25 a month
£119.88
£7.99
Interactive Investor offers everything most investors need. Its flat fees makes it pricey for small portfolios, but cheap for big ones. Capital at risk.
Saxo Markets stocks and shares ISA
No minimum deposit requirement
0.12%
£8.00
Saxo Markets offers a wide access to a range of stocks, ETFs and funds. Capital at risk.
AJ Bell stocks and shares ISA
£500
0.25%
£9.95
AJ Bell is a good all-rounder for people who to choose between shares, funds, ISAs and pensions. Capital at risk.
Fidelity stocks and shares ISA
£1000 or a regular savings plan from £50
0.35%
£10.00
Fidelity is another good all-rounder, offering a good package at a decent price. Not suited for trading shares. Capital at risk.
Nutmeg stocks and shares ISA
£100
0.75%
£0
Nutmeg offers three types of portfolios. Choose the one that goes with your investment style. Capital at risk.
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Data indicated here is updated regularly
Name Product Minimum investment Choose from Annual fee Brand description
PensionBee Pension
No minimum
7 funds
0.5% - 0.95%
Pension Bee is a newbie in the pension market. It helps consolidate your pension plans into one place. Capital at risk.
Hargreaves Lansdown Pension
£100
2,500 funds
0-0.45%
Hargreaves Lansdown is the UK's biggest wealth manager. It's got three different retirement options. Capital at risk.
Interactive Investor Pension
£25/month
Over 2,500 funds
£10/month
interactive investor is a flat-fee platform, which makes it cost effective for larger portfolios. Capital at risk.
Saxo Markets Pension
Saxo Markets Pension
£10
Over 11,000 funds
No annual fee
Saxo Markets gives flexibility and control over your investment strategy. Capital at risk.
AJ Bell Pension
£1,000
Over 2,000 funds
0.05-0.25%
AJ Bell has two different pension options, a self managed pension and one that is managed for you. Capital at risk.
Moneybox Pension
£1
3 funds
0.15% - 0.45% charged monthly
Manage your money with an easy-to-use Moneybox app. Capital at risk.
Moneyfarm Pension
Moneyfarm Pension
0.35%-0.75%
7 funds
£1,500 (initial investment)
Moneyfarm has pensions that are matched against your risk appetite, goals and planned retirement date. Capital at risk.
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All investing should be regarded as longer term. The value of your investments can go up and down, and you may get back less than you invest. Capital is at risk.

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