Just sitting here, picking the fluff out of my belly button, and wondering about silver sales.
Who buys physical silver?
I know we as stackers make incremental purchases of physical. We store it at home, at work, in a vault, in a hole in the bush, wherever. Some have even increased these purchases to include within their superannuation. But we are talking about 100 million ounces mined per annum going to investors.
I would expect some silver ETFs would purchase a working amount of silver despite the oft quoted 200 to 1 ratio of paper to physical. I expect some other silver ETFs may hold up to 100% of silver, but can't be sure. I doubt if many portfolio funds would hold silver in lieu of gold just because of the 70+ physical limitations.
As a hypothesis, if half the silver bought goes to the investment industry, this leaves 50 million ounces being bought by stackers each year. If each stacker conservatively bought 100 ounces a year, then there are only half a million stackers! Out of a population of 7.5 billion, then that is one in 15,000 or .007%.
Of these half million stackers, 10,000 are on this forum! It is no wonder that we are considered eccentric by the rest of the population.
Who buys physical silver?
I know we as stackers make incremental purchases of physical. We store it at home, at work, in a vault, in a hole in the bush, wherever. Some have even increased these purchases to include within their superannuation. But we are talking about 100 million ounces mined per annum going to investors.
I would expect some silver ETFs would purchase a working amount of silver despite the oft quoted 200 to 1 ratio of paper to physical. I expect some other silver ETFs may hold up to 100% of silver, but can't be sure. I doubt if many portfolio funds would hold silver in lieu of gold just because of the 70+ physical limitations.
As a hypothesis, if half the silver bought goes to the investment industry, this leaves 50 million ounces being bought by stackers each year. If each stacker conservatively bought 100 ounces a year, then there are only half a million stackers! Out of a population of 7.5 billion, then that is one in 15,000 or .007%.
Of these half million stackers, 10,000 are on this forum! It is no wonder that we are considered eccentric by the rest of the population.
