Let's talk about a 20 years dream.
$750 placed in a bank term deposit for 20 years, vs 1 kg of silver buried under the house, which will be worth more in 2038? Assuming the bank doesn't go bust and the owner has not gone bankrupt during that time.
If we assume 3% interest rate, then $750 compounding at 3% interest a year will end up as $1,350 after 20 years. Will the 1kg piece of silver be worth at least $1350 ($22/oz) in 2038?
My thoughts yes for sure. More than $1350
"My thoughts"? Lol... would you guarantee that? Of course not.
Gold and silver are monetary metals which function as stores of wealth. They rise up periodically to account for inflation of the currency they are measured against. They don't have a yield (nor are they supposed to, being money). Simply look at the graphs in the long term. Silver has a bit of potential for more (or less) demand based on its quasi-commodity value, but gold is pretty firmly entrenched as money value.
In the example you gave, assuming general inflation was also average of 3% annually, then there is about a 50/50 chance that the silver will be worth more than $1350. It depends if it spiked recently. Either way, it should be pretty close. The only problem (or opportunity, depending who you ask) is that the gold or silver price doesn't match the paper currency consistently... it stays stagnant for years or decades and then jumps up (with slight temporary overshoot) to account for inflation of currency supply.
Instead of dollars, maybe look at it in terms of buying power. If it takes 100 ounces of gold to buy an average house and 15 ounces to buy an average car right now... the same will basically be true in the future. Right now, an ounce of silver at spot price buys roughly 5 gallons of gasoline or 5 gallons of milk or 5 loaves of bread... and that will be the same historically and in the future also. You've all heard the old adage that an ounce of gold has historically bought one nice outfit with shoes (toga + belt + sandals in Rome, tunic + satchel + hat + boots in medieval, suit + shirt + belt + shoes today). Gold is a store of value, nothing more. Silver is the same way. The only exception would be if a significant new industrial application or some other large demand for either metal came to rise.
You also need to consider the pro/con of the kilo of silver versus the bank account. That would be convenience, premium paid to buy, theft, finding a buyer, stability and security of overall economy and banking system, etc. It's a personal choice, but neither the kilo or the 3% bank account is a growth investment you should expect to achieve increased purchasing power from. They are both also pretty low risk, so you can't expect much, or any, significant growth return.
