After US Mint sold out their silver coins (American Silver Eagle) – for twice, Canadian Mint now controlling their available remaining silver very carefully. Alex Reeves (Senior Manager of Communications for Royal Canadian Mint) said, “Due to very high demand for Silver Maple Leaf bullion coins, the Royal Canadian Mint is carefully managing supply to ensure all our bullion distributors are served and we continue to take orders.” This situation proves one thing: the physical supply for silver is extremely tight. It is not easy for many manufacturers to source for physical silver for production. This including Apple could not produce sufficient of 27 inch new iMac. Click here for previous post.
This is the latest update from Mike Maloney in Gold Silver Insider Program. Mike Maloney is one of the most respected persons in precious metal industry. He studied economy history, understands current economy mess and he has been actively raising global awareness about the role of gold and silver under current troubled economy. Most importantly, Mike realizes the strong fundamental of silver and the potential. He personally invested 90% of his cash into silver.
In Malaysia, many precious metal investors would like to join Mike’s Insider Program for the great information. You can become a member by purchasing 500oz of silver, 10oz of gold, or purchase the membership program outright from GoldSilver.com. The membership program costs USD1,659.10, which is equivalent to RM5,143.21.
First option, 500 oz silver – the silver that offered by GoldSilver.com falls into the category of what I call “less attractive”. There are 2 main categories: coins (legal tender) and large-size silver bars. Buying coins from overseas is an unwise move choice for most retail investors in Malaysia because 15% tax to be paid at Kastam Diraja Malaysia. In other words, you are buying silver 15% more expensive than others. If you can get 15% cheaper from local dealers, why pay 15% extra? The local dealers have their “tricks” to bring their cost lower but we will leave that discussion for another day. Another category is large-size silver like 10oz and 100oz. Large-size silver has lower premium, is value-for-money investment and there is no tax. However the liquidity is relatively low in Malaysia. 10 pieces of 1 oz silver can be sold of much easier compared to 1 piece of 10 oz silver. Imagine this, any middle class working person can afford to start investing in 1 oz of silver for slightly above RM100. But for 10 oz bar that cost more than RM1,000, I’m afraid not too much people can afford. Let alone buy the 100 oz.
Second option,10 oz of gold – due to gold silver ratio is ~50, GoldSilver.com makes the criteria (amount) for getting into the Insider Program at 50 times lesser than silver, which is 10 oz of gold. Gold silver ratio can be calculated by simply dividing gold price with silver price. For example, if today gold price is USD1660.30 while silver price is USD31.28, hence gold silver ratio is 53 (1660.30 / 31.28). Most people buy gold for cultural reasons. For example during Chinese and Indian wedding, people buy jewelry like gold necklace, gold ring and other gold jewelry. For some well-doing Chinese families, new born baby is given gold jewelry too. On the other hand, government central banks keep gold and they hoard gold as an hedge against the decline of USD. While gold is mainly being hoarded, silver is an industrial metal that being consumed. Do recognize that when the silver is used up, it is gone forever. I have nothing against buying gold, but many facts clearly shown us silver has much greater potential compared to gold, hence allocating more than RM55k to purchase gold (so that the person can get into the insider program) might not be a great plan unless the person has already allocated RM500k for silver.
Third option, purchase the program outright for USD1,659.10, or RM5,143.21. While the information in GoldSilver Insider Program remains great, paying RM5,143.21 for a membership program might not be affordable for many people. In fact the high entrance fee potentially push the genuine learners with low capital away. I always find this ironic, some young and low budget investors usually have limited amount of capital to invest. If the gurus are asking for high cost to get the information, where else would such young and low budget investor find money to invest??
In order to solve this problem, I have written an eBook titled: Practical Guide For Investing Silver In Malaysia that will show you exactly how to invest in silver from your 1st oz until your 1000 oz. The eBook will show you what are the safe methods to invest silver in Malaysia. Where to look for investment-grade silver with lowest price. Mistakes to watch out when investing silver and a lot more tips and tricks for investing silver in Malaysia. In fact you can also join Malaysia Silver Investor Membership for a much affordable fee.
A famous says “If you think education is expensive, try ignorance“. Making a financial mistake is never a fun experience. The eBook contains 100+ pages of great information and 2 bonus reports to guide you step by step investing silver. Click here to find out more.