Low Risk Silver Investing

Keith Kohl

Updated January 12, 2007

BALTIMORE, MDI like gold. But I love silver. Silver costs a fraction of gold, yet it has the ability to tack much large percentage increases during a bull market. In fact, in certain instances where gold has doubled, silver not only tripled, but sometimes mushroomed 4 times its price!

Now, when investing in silver most folks think that there are only two major avenues one can take: 1) Physical Bullion or the ETF; or 2) Exploration and production stocks. But Silver Bags, sometimes called "Junk Bags", offer some advantages over traditional silver investment.

The term ‘junk bag’ was first used in the disco-era 70s to describe a bag of average, circulated silver coins. In other words, these were silver coins with no collectable value.

The bags contain quantities of dimes, quarters, or half-dollars which all have a certain percentage of silver.

U.S. dimes and quarters prior to 1965 were minted with 90% silver, while half-dollars were done at 40%. This content means their value as a great silver investment can turn into a tidy fortune.

So why buy silver bags? Why not go with the bullion option?

Well, one advantage these coins have is that they provide for small increments of barter. Also, the bag carries a low premium over spot silver. Furthermore, not only are they legal U.S. tender coins, but they are recognized around the world as a trading medium and are therefore considered very liquid assets.

There is even the exciting possibility your bag could be worth more if it contains a rare silver Morgan. Another example of added value is that within your bag of silver dimes could be mercury-headed dimes dated from 1945 or earlier.

I also like silver bags because there’s less risk involved.

Let’s say you bought a silver bag of Kennedy half-dollars (40% silver), which has a face value of $1,000 and contains 295ozs. of silver. At current rates this bag would cost you about $3,725.

Now let’s say silver prices crumbled to $0.50/oz overnight, which as you and I know isn’t likely. Your coins still hold face value. But if you bought 295ozs. of silver bullion, your investment would only be worth $147.50.

But imagine the flip-side too.

Assuming that silver continues on its bull run over the next 5 years, you could get a 75% return on your original investment! So, silver bags can lower risk yet still retain profitability.

These bags of silver can be purchased through most rare coin and precious metal dealers. And once you buy from one, you are free to sell to any other dealer around the world. Many reputable companies that deal in coins and precious metals can be found via the internet. Google "silver bags" or "buy silver bags" if your interested.

The fact that the bags will be shipped to you means you have full control of your investment. There are some suggestions, however, when it comes to storing your investment.

There are a wide range of storage possibilities. Big companies charge storage large fees to hold your assets. But I do not suggest not keeping your investments with anyone else but yourself. Besides, is there anyone you can really trust your money with nowadays?

A safety deposit box at a bank is a suitable option. It is a cheap and effective way to ensure security and give you the ability to access your coins for most of the day. But once again I would advise against keeping all your eggs in one basket. Rather if you do plan to hold a large collection of silver coins, I recommend spreading it around.

By now you realize the extreme potential that buying silver bags can have for your future wealth, mostly because it is a relatively cheap and easy way to delve right into silver investing.

But even more than the ease at which you can conduct this business, it offers an exciting, hands-on approach to control your own future.

Until next time,

Keith Kohl

Angel Publishing Investor Club Discord - Chat Now

Keith Kohl Premium