What is Spot Silver?
The term “spot silver” simply refers to the current silver price per ounce (cash value), as determined by the Stock Market. Typically, when you purchase silver, you will be purchasing by the ounce. You can expect to pay the spot price plus dealer fees. Each dealer charges different fees. They can be substantially higher if you are looking to buy numismatic coins, which are collector coins that are no longer minted, and have added “collector” value.
The spot silver price per ounce fluctuates by the minute. Some dealers sell by the coin, by the bar, or as futures. Futures are ETF’s, which are the paper form of silver. It is basically a promissory note that can be bought and sold quickly. They allow investors to purchase large amounts of metals without needing to take physical delivery. Each ETF is supposed to be backed by an equal amount of the metal in a secure, 3rd party depository. Although, it has been said that this rule is skirted often, and that if there was a major economic event, and too many people called in the actual metals they owned through their ETF, or even the cash amount, the suppliers would not be able to fulfill everyone. This makes ETF’s risky to people who are worried about economic stability, or catastrophic events similar to a “bank run“.
ETFs are also designed to deduct fees from investor shares, reducing their paper holdings over time. Most physical storage vehicles do not do this.
Buying & Selling Physical Silver
When you sell physical silver, you will likely not be able to get the “spot price” or melt value, unless you are selling a limited quantity to an individual. If you deal with a firm or dealer that sells silver bullion in large volume, they typically purchase from individuals well below the spot price. For example, in a recent deal we were involved in, for 100 silver bars we were offered anywhere from $1-$2 per ounce, below the current spot price. At the time that reflected a 10-20% “fee” for liquidating our metals quickly.
For the physical form, the spot silver price per ounce is a reference point for dealers who are selling to the entire market. The spot price is based on the futures pricing, available on the stock market. The majority of daily trades in silver are done electronically, rather than physically. For this reason, the futures markets are likely to provide the most up-to-date and accurate prices for silver.
Physical dealers typically sell over spot, so they can earn a commission. The commission amount varies by firm, and can go as high as 60% or more if you are purchasing physical numismatic (no longer minted) coins, that have collectible value built into the price. We recommend investors be wary of paying anything over 10-15% above the spot price.
Putting Silver into a 401k or IRA – Is it Smart?
When the U.S. financial meltdown of 2008 occurred, many people lost their shirts. Especially folks who had substantial stock market and/or real estate holdings in their retirement account. On the contrary, those who hedged their IRA with a good percentage of their holdings in gold and silver saw huge gains. A silver IRA can be relatively unfamiliar to most investors.
Many mainstream investment advisors are known to be against putting physical precious metals into an IRA. It has been said that this is likely due to the fact that some advisors, such as those working at popular firms, do not receive any commissions by recommending physical precious metals, and specifically a silver IRA. This brings into question whether or not these “advisors” have their customer’s best interests in mind, or not.
It is always best to not only rely on your financial advisor for advice, but to also do your own research. Putting a portion of your portfolio into precious metals can be a strong safeguard against the actions of the federal reserve, including quantitative easing, which has already happened 3 times since 2008. The video below explains in much greater detail how spot silver and gold prices have increased in value over time, as the U.S. dollar continues to be de-valued.
Our Review of Regal Assets
Ask For: Colin Plume or Cristian Howard
BBB: Rating of A+
Only 1 complaint with BBB in last 3 years | 0 in last 12 months
TrustLink: based on 191 Reviews
Regal is the 20th Fastest Growing Financial Services Company in America
Inc 500 just ranked Regal at #20 in the country out of 6 million companies. No other precious metals company made the list in 2013.
Regal Assets has the top reputation of any precious metals firm in the world. They are known for having an A+ rating with the Better Business Bureau, and for their 100% customer satisfaction record at Trustlink. Both of these 3rd party, unbiased review companies highly recommend Regal, as do we.
Regal Assets has been in business for a decade, and to have only one single complaint after such an extensive period of time is remarkable. They have experienced advisors and customer service representatives to give clients a personal touch, providing an education in the process. These advisors and representatives are available to from 7:00 AM to 6:00 PM PST.
We encourage you to give them a call at 855-712-0016 to experience a different level of care than you may be used to. In particular, senior advisors Colin Plume and Cristian Howard are exceptional. Feel free to ask for them specifically, even if you are just seeking information. You will not be “sold” on the call, as they are not pushy sales people, which we have found to be a breath of fresh air.
The Regal Assets website is highly functional and easy to navigate. Along with a real-time staff available to answer questions and address concerns, the website also provides information about the prices of precious metals in real time, including the latest spot silver price per ounce, as well as gold, platinum and palladium. Regal lets you respond quickly to market changes by “locking in” the current spot silver price while you are on the phone, regardless of whether or not you end up making an investment. Their site also features some interesting and insightful interviews with billionaire gold and silver investors.
Unusual Delivery Guarantee
Regal offers a guaranteed 7 day delivery. They back this up by giving a free silver eagle to anyone who experiences a delivery time longer than 7 days. This really sets Regal apart, as most firms tout a 90 day delivery window.
Every shipment is fully insured, and shipped in discreet packaging. Alternatively, you may choose to let Regal store your metals at a fully insured 3rd party depository, where you, and only you, can authorize withdrawal. This is especially useful if you plan to put metals into an old 401k or an existing IRA, because you will not incur penalties or taxes if you store them with a 3rd party, and do not take personal delivery.
Gold & Silver Inventory
Regal stores millions of dollars in inventory, with a wide range of options. They carry silver bullion from around the world, including collectible and much more valuable numismatic coins. Some investors prefer these coins due to the fact that they are no longer minted, and as history shows, if the U.S. government ever decides to once again confiscate gold (as they did in 1933), older, non-minted coins are believed to be safe from seizure, as they were previously. Additionally, you can choose from gold, platinum, and palladium. Be sure to ask your advisor to explain the benefits of each, so you can make an informed decision. Some metals have particularly interesting futures. For example, it is said that silver may become used substantially more in the future in the technology sector, for longer lasting batteries and in cleaner operating automobile engines, among other uses. Some investment advisors predict that this may cause silver to go up substantially in value. Other metals have interesting potential uses as well.
Silver IRA Available?
Regal Assets specifically touts that they are Gold and Silver IRA specialists. Meaning they can offer the best deals, the quickest turnaround, and the easiest process (filling out just 1-2 forms), to roll metals into your existing IRA. Also important to note is, Regal only deals with physical metals. Meaning they will not put paper metals (known as ETF’s) into your IRA. Many precious metal firms deal in ETF’s, but it is widely known that they are not as secure as physical metals, and are much more susceptible to manipulated pricing.
Regal Assets is our top recommended silver dealer and silver IRA solution. They offer reasonable fees as close to the spot silver price as possible, and outstanding service. You can reach Regal directly at 855-712-0016 or visit them online at http://www.regalassets.com.
Possibly The Best Retirement Fund Investment?
The US Government used to restrict Individual Retirement Account (IRA) investments solely to cash based contributions. Up until 1997, only bonds, stocks, mutual funds and money market funds can be placed in an IRA investment. Fortunately, the Congress issued the 1997 Taxpayer Relief Act which enabled tax to be deferred for gold and silver IRA and other precious metal investments. For this reason alone, gold, platinum or silver into an IRA is actually a good investment since it can transform your retirement into a tax-deferred asset. The whole point of an Individual Retirement Account (IRA) is to let you securely store investment and wait for it to increase in value without the burden of paying for tax.
Why Add Precious Metals to Your IRA?
Traditional IRA investments can be so unreliable these days especially with quick ups and downs in the economy. Return of investments (ROI) for traditional investments are significantly lower compared to three decades ago. Real estate prices, bonds and stocks are highly unpredictable these days. Even the US dollar and Euro are not as strong as it was before. If this is the case then, why risk your IRA when you cannot really predict what the outcome of your investment would be? It would be best to invest your IRA on something more stable and that is special metals. A precious metal investment proves to be a more stable and has lesser chances of economic collapse than any other forms of IRA investment. Finally, valuable metals have lower risk of theft compared to other types of IRA. Valued metals may be hard to find too but at least they do not get easily stolen.
Silver vs. Gold
Compared to traditional investments, both gold and silver IRA’s are more stable and secure. However, between the two, putting silver into an IRA has lesser risk and provides better potential than investing IRA in gold. True, gold may have higher value than silver, but are you prepared for its price fluctuation in the market? Whereas silver still increases in value even during inflation periods, and increases in the debt ceiling. Not to mention, getting involved with silver can be much less daunting when you compare the spot silver price to spot gold!
Nonetheless, there are still considerations when investing in silver. Profits can be maximized if you keep these important points in mind:
• Know the current up-to-the-minute spot silver price per ounce.
• There are pre-approved items eligible for silver IRA investments, not all silver coins or bullion are eligible, and many some can vary substantially from the current spot silver price.
• Always keep yourself informed of the latest updates in IRA rules and regulations.
• Ask the expert’s advice when it comes to identifying appropriate hallmarks before investing in silver.
How Hard is it to Create a Silver IRA Account?
Opening a Silver Individual Retirement Account (IRA) is very easy. As long as you know the rules about precious metal IRA investments, there is no reason to find investing in these things difficult.
• Check the eligibility of each silver item.
The first thing you need to do is to identify if the silver items are eligible for IRA investment. Based on IRA rules, a silver item needs to be at least 99.99% pure in order to be included in the pre-approved list. Silver coins and bullions are considered eligible assets.
Here is a list of eligible Silver IRA coins:
• American Silver Eagle coins
• Australian Kookaburra coins
• Canadian Silver Maple Leaf coins
• Mexican Silver Libertad coins
• Silver Austrian Vienna Philharmonic coins
• Silver coins and bars (100 oz. — 1,000 oz.)
US silver coins, such as silver dollars, quarters, dimes and half dollars; dated 1965 and earlier are not eligible for IRAs.
Open an IRA account for qualifying precious metals.
After identifying the items you would like to place into a silver IRA, find a third party IRA custodian for safekeeping. IRA rules state that valued metals must be kept by a third party custodian. Any valuable metals cannot be kept in a home safe or a bank safety deposit box. There are many companies offering third party safekeeping services for metals of value. You can also ask some precious metal dealers since they may have subsidiaries offering custodian services. Always check the custodian’s reputation in the market. Make sure that previous customers have left positive feedbacks and that they are highly recommended in the industry. It would help if the service provider has been doing business for a long time.
After securing a reputable IRA custodian, the next step would be to fill up an IRA application form for a new account or perform a silver IRA rollover from another account. The custodian can provide you with instructions on how to do the application process correctly. They can also provide advice on how to properly invest your IRA. Custodians also help you monitor your account holdings by issuing quarterly or monthly statement of accounts.
• Check for updates in IRA rules regularly.
In order to maximize profitability of your investments, always equip yourself with the knowledge in IRA rules and regulations. The government may amend the rules over time and sometimes, certain metals of value are added in the pre-approved list. Also, make sure to regularly check the allowed maximum annual contribution for IRA investments because it might change from time to time.
What Investing in a Silver IRA can Bring You
What’s the most important thing an IRA account can bring you? Well, aside from a good return of investments, retirement accounts are supposed to bring peace of mind. The thought of having a secure financial status well beyond your working years is the main reason why you need to invest your IRA wisely. Between stocks and bonds and valuable metals, the latter prove to be more economically stable (and of course, imperishable). Why then, would you want to put your money on something uncertain? If there is one thing you can trust your money with, it would be an investment on valuable metals particularly gold and silver.
Why Go for a Self-directed Silver IRA?
A self-directed Individual Retirement Accounts (IRA) allows the owner the full control of his retirement investments. That means, the owner can put his money on any forms of investments and that includes metals of value as well. Before making any decision, consult professional advice. They would be able to provide you with better options when it comes to investing on metals of value. For instance, an investment of $5,000 or less is best silver and gold IRA. However, a larger investment, say $100,000 and above is better suited for a mixture of silver, gold, palladium and platinum.
How to Add Silver to Your IRA
There are three ways to add precious metals to your account. Setting up a self-directed silver IRA, for one, will enable you to add special metals to your investment. Second, an existing Individual Retirement Accounts (IRA) will enable you to transfer valued metals to a newly opened account. This is called an IRA rollover. In the case of silver, the transfer between two accounts is known as silver IRA rollover. Now, re-deposit should happen within 60 days or else there would be tax implications and penalty fees you have to pay. Additionally, in order to maintain a tax deferred status on your silver IRA account, make sure to do a rollover at least once every 12 months. Lastly, hiring the services of a silver IRA custodian can help you with account monitoring while still giving you full control and freedom on decision-making related to your silver IRA.
There are many silver IRA companies out there in the market but buyer beware, as many sell much higher than the silver spot price you may be looking for, with ridiculous commission fees. Before choosing one that suits you best, always do your homework. Research, research, research. Read several reviews about each company to find truthful and honest feedback. The success of your silver investment partly lies in your ability to find a silver IRA company that knows what they are doing and with a reliable service tested through time, selling as close to spot silver price per ounce as possible, without sacrificing on quality and service. (price isn’t always king)
Regal Assets is our Top Recommended Silver Dealer and Silver IRA Solution. They are reputable, reasonable, and sell at reasonable rates, as close to the current spot silver price as possible.
Ask For: Colin Plume or Cristian Howard
BBB: Rating of A+
Only 1 complaint with BBB in last 3 years | 0 in last 12 months
TrustLink: based on 191 Reviews published here: http://www.trustlink.org/Reviews/Regal-Assets-LLC-206068373
You can also see our reviews of other Silver & Gold IRA companies here.