Insurance On Sale Today (December 11, 2015)


With the markets selling off this morning, I am flabbergasted to see that the price of insurance is selling at basically unprecedented lows… The spot price of physical silver collapsed again this morning, down close to 2%.

We have now dipped below the $14 per ounce mark…



In these most tumultuous times, what an incredible gift the market is giving to the everyday consumer right now…

They say that “gold is the currency of kings” and silver is the “money of gentlemen“. At these firesale prices, I would prefer to be a gentleman, myself…

A monster box of 500 Canadian Maples (2015) can be had for just a shade over $8,000/box




If I didn’t already purchase my “insurance policy” earlier this year, I would jump all over these type of deals…

Could silver trend lower and fall below $12/oz?

It’s possible…

But I am entrenched in my belief that demand is going to far outstrip supply if prices dip any lower…

And just because the spot price is set at “X”, it doesn’t mean that you’re actually going to be able to locate any metal selling at “X”… What will probably happen (like many times before) is that premiums will start to surge to compensate for the lower and lower firesale prices…

So, the bottom line will more or less be capped…

Further, many silver producers are now underwater and can’t generate profits at these low prices… A prolonged slump will cause silver mines to start shutting down (this has already started to happen with copper/zinc mines, which just so happen to produce a large bulk of the silver inventory in the form of byproduct)…

Similar to mining stocks, the downside (at this point) in buying physical silver is almost minimal, but the upside could be tremendous…


I am posting this article today to time capsule (archive) these thoughts…


I really believe that we will look back in 3-5 years… and be like:


“Holy Sh!t! Silver was selling for under $14/oz?!?”


With countries all across the globe continuing to debase their fiat currencies and the stock market on shaky grounds (the commodities crash is just starting to heat up and it will have profound implications soon enough), I can’t think of a better place to park some of my investment capital…


Most financial advisers suggest allocating 10% of your assets to physical precious metals…


Please note — As always, I NEVER give out, or offer any kind of investment advice… I ONLY share with readers my own thoughts and actions… But I would just say this — Consider the risk vs. reward curve, use logic and intuition, and act according to that.


Do you trust government and central banks to sort out the current mess that we are in worldwide? Or would you prefer to hold a hard asset (universally accepted) that has ZERO counterparty risk and is selling at firesale prices?


The choice is yours…

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4 years ago

Hi FiFighter,

There are lots of info on the purchase of physical precious metals, but not so for selling of physical precious metals. Can you shed some light on how one would sell their silver or gold coins? Are their fees or spreads to be concerned about?


4 years ago
Reply to  FI Fighter

Hi FiFighter,

I was referring to the sale of physical coins, and not ETFs. Is there an exchange or broker to go through if you were to sell your physical metals? And if so, what are the typical fees or spreads that go along with selling in that medium?

Also, what are you thoughts on purchasing physical coins/bullions vs the equivalent ETFs which track the spot prices?