Malaysia Silver Investment Vocabulary

Malaysia Silver Investment Vocabulary

Note that this list of term and the definition is customized as a quick and simple explanation. Readers might find slight different definition for on the terms from other sources.

Air tite
A plastic protector that covers silver from dirt, dust and scratches. Silver owner can still appreciate the beauty of the silver item although it is cover because air tite is transparent.

ASE
American Silver Eagle coin. One of the most famous and well recognized coin in the world. Most silver investor have it as this coin is beautiful and very common in silver market.

Bar
Rectangle shape form of silver. Not legal tender.

Bounce
As silver price has been dropping, a sudden revert of direction in price that leads the price to go back up.

Bulk purchase
Buying silver in large quantity. The minimum quantity of a bulk purchase should not be any amount less than 20 unit. Bulk purchase could go up to several hundred of unit or even thousands.

COD
Cash on Delivery. Seller and buyer will physically meet up to exchange silver with cash. However a small amount of deposit can be expected prior to meeting.

Coin
Round shape of silver which is a legal tender.

Dollar cost average
An investment strategy where the investor over a period of time spend the same amount of cash consistently to buy certain amount of silver regardless of the spot price.

Exit strategy
A plan to sell off your silver. Sell your silver to exchange for cash.

Gold silver ratio
A measurement to determine how many oz of silver is required in order to exchange for one oz of gold.

Guarantee Buy Back
A promised or a policy offered by silver seller to silver buyer. It is to reaffirm the buyer that the seller will buy back the silver, that the seller has sold to the buyer.

Legal tender
A form of silver that has face value and is recognized by the respective government which issued the coin. For example American Silver Eagle is recognized by United States and carries face value of USD 1.

Liquidate
Sell silver for cash.

Lock
Notifying seller on buyer’s intention of buying how many silver at what price. Verbally (or through messaging) to close the deal.

Numismatic Value
The perceived value for an silver item. This could due to limited mintage, specific design, branding, etc. Numismatic value has no direct relation with silver content.

Premium
The difference in price between silver spot price and seller’s selling price.

Resistance level
A price that often stop spot price from rising higher.

Round
Round shape of silver that is not a legal tender.

SLS
Silver Shop Lot. A Facebook group that appears to be the largest silver market place in Malaysia which has more than 6000 members and still growing.

Silver spot price
Silver live rate that fluctuate according to international silver markets.

Spread
The amount of money in difference when a buyer buy a piece of silver and sell it back to the seller immediately.

Support level
A price that often stop spot price from dropping lower.

Technical Analysis
Studies of forecasting the direction of prices through the study of past market data, primarily price and volume.

This is a sample chapter from eBook titled Practical Guide for: Investing Silver in Malaysia. Download the full version

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