Silver is a great form of investment, and there are several places you can buy silver bars in Canada relatively cheap. Some popular options include Silvergoldbull, Bordergold, Canadianpmx, and Artincoins, but there are several more. Some of these options offer high-grade coinage, while others offer regular bullion, and most offer free shipping across Canada after a certain purchase threshold. If you're looking to get into one of the few investments you can have in physical, tangible form, read below to find out how to invest in silver and where to find the cheapest place to buy silver bars in Canada.
Did you know people still buy silver bars? For years, the most widely accepted and used form of currency was silver. Silver, not gold, was referred to as the world's leading monetary metal by the brilliant economist Milton Friedman. Today, silver is known to be eight times as common as gold and is still a limited and highly uncommon valuable metal. In reality, governments and banks hold only a tiny bit more investment-grade silver than they do gold bullion.
The use of silver as mass-circulation coinage was abandoned more than 40 years ago due to banks' and central banks' desire to switch to exclusively fiat currencies as well as due to its scarcity and high price. That doesn't imply that people are no longer buying silver bars, though, so if you want to make a cheap silver bar purchase in Canada, we'll tell you how to choose and where to find good deals.
You'll learn the cheapest methods to buy and invest in silver, such as ETFs and futures, as well as the several sorts of physical silver bullion you can buy, such as coins and bars. Either option has its pros and cons, so make sure to read below before making your decision.
Silver Bars 101
Most silver that you find in jewelry or coins is first produced as a silver ingot or bar that is purified from silver resources discovered in underground mines. The little-known truth about silver is that the majority of silver is created as a by-product of the mining of gold, lead, and other base metals. Pure silver mines are quite uncommon.
Silver bars are produced by both commercial and government mints more frequently than gold bullion (these are gold and silver certified by the government to be at least 99.5% pure) due to their relatively lower value. The precious metals are produced similarly, and the most popular forms are minted coins, pressed bars, and cast bars. The ore is extracted from silver mines, where it is refined into pure metal by smelting.
Silver ingots or cast bars are created by pouring or casting the molten metal into a mould. When metals and other substances are melted and poured into a mould with a certain shape, typically a rectangular block, they are referred to as ingots. Only ingots are a realistic way to purify metals or nonmetals into a suitable shape for storage and transit. Ingots are not intended to be traded as investment-grade metal and are only marked with the producer's name and some basic information, such as weight.
Types Of Silver Bars
Like coins, silver bars are an excellent option for all types of investors. Although most people only think of a government or bank stockpiles when they think about silver bars, individual investors can easily purchase bullion bars and take advantage of their financial advantages.
There are several sizes of silver bars, ranging from the smaller 5g, 10g, and 20g bars up to 1,000-ounce bars. Cast bars also appear thicker and shorter in length and width than stamped bars.
Large silver bars are the most widely used because they offer investors the highest value and are more liquid than smaller bars. 1 oz Silver coins are more popular among smaller investors than small silver bars.
Other silver bars available for purchase include:
- One Ounce bars: Bars weighing one ounce are about the size of a biscuit. For instance, a 1-ounce Scottsdale silver bar weighs 31.07 grams of silver and has dimensions around 50 by 29 by 2.6 millimetres.
- Ten-ounce Bar: These bars are about the length of a pen across their diagonal and contain 310.7 grams of pure silver. Such a bar usually has dimensions of 73 mm, 41 mm, and 11.4 mm.
- One-kilo bar: A one-kilo bar contains 1,000 grams of silver and is roughly the size of a brick. A PAMP bar measures approximately 52 x 118 x 17 mm.
- 100-ounce bar: 3.107kg of pure silver is contained in 100-ounce silver bars. They are one of the most common silver bars and measure roughly 184 by 80 by 20 millimeters.
- 1,000-ounce Bar: Also referred to as a Good Delivery Bar, this bar measures 6 inches long by 2 inches wide by 1/4 inch thick and weighs 31.07 kg of silver.
Cast Vs. Pressed Bars
Both cast and pressed bars have distinctive advantages to meet the tastes of every investor, although having some key differences.
Let's consider the types of differences in greater detail.
Poured Or Cast Bars
To create these sorts of silver bars, molten silver is poured into a mould or cast with the proper shape. The molten silver is withdrawn from the mould once it has cooled and solidified to guarantee that it contains the precise amount of silver. The refiner's name, the bar's purity, and its gross weight are subsequently stamped onto the cast bar. An alternative is to stamp a serial number on the bar to identify and authenticate it.
The finishing of cast silver bars is not as glossy and polished as that of minted bars. Instead, they have a rougher appearance, and no two poured bars are the same.
Even though casting silver into bars is reasonably straightforward, manufacturing many little bars at once can be expensive. This is because melting the silver requires a great deal of energy, and meticulously pouring molten silver into each mould requires a lot of labour.
Casting big bars weighing more than 100 ounces results in the most cost-effective bar pouring.
Large bars, such as the 1000-ounce bars that are traded by banks, investment funds, and governments, are virtually invariably produced using the casting method. The pressing or minting procedure is frequently used for smaller bars weighing less than 100 ounces.
Minted, Pressed, Or Extruded Bars?
Silver is not heated above its melting point during the minting or pressing process of silver bars. Instead, it starts with silver blanks, which are sizable chunks of unmarked silver fashioned into bars or rounds. The blanks are then subjected to intense pressure using a pressing or stamping machine and a die with the required design. The die usually produces a beautiful and glossy finish and features detailed logos.
This method allows for the quick and cheap production of smaller minted bars because heating the silver does not take a lot of labour or energy. Large bars weighing more than 100 ounces, however, cannot be successfully made using this method.
Therefore, the investor's preference and the price disparities between minting and casting silver bars will determine whether they choose to purchase cast or minted bars. Smaller bars are often pressed, while those over 100 ounces are commonly cast.
To create a uniformly formed length of silver, the metal can also be heated to soften it before being forced through a circular or rectangular opening. The size of silver is then sliced into smaller portions before being stamped. This is referred to as extruded silver.
Investing In Silver Bars Vs. Coins
Both silver bullion bars and coins give investors access to the silver market and the chance to diversify their portfolios and profit from price increases. The decision between coins and bars will, however, vary depending on the investor and may include the following:
- How much money do you want to put into the silver market
- How quickly do you want to assemble a silver investing portfolio?
- The need to sell your silver promptly during emergencies.
- A desire to refrain from paying exorbitant prices when making a transaction
- Budget-friendly storage is required.
According to the listed criteria, buying silver bars as opposed to bullion coins will provide the following benefits:
Since it requires more time and meticulous labor to strike coins into their elaborate shapes and decorations, silver bars can be purchased at a lower premium than bullion coins.
Silver bars are a better choice for an investor looking to swiftly expand their investment portfolio because they are less expensive per ounce than coins.
Silver Bars can cost less to store in an insured, high-security vault since they require less room than coins of comparable worth do.
How To Invest In Silver
Simply put, purchasing physical silver bullion is among the greatest ways to buy silver since it enables you to invest in and possess a precious metal in its actual, tangible form. Purchasing real precious metals gives you full ownership over your silver investment.
Buying silver or engaging in precious metals market speculation in Canada can be done in various ways. These could include buying
- Silver mining stocks
- Silver futures contracts
- Silver exchange-traded funds
The financial instruments mentioned above are also investments for many mutual funds when these assets appreciate in value, their shareholders’ profit.
The most fantastic strategy to purchase silver bars in Canada, according to many silver investors, is actually to possess tangible amounts of silver.
When you buy real silver bars in Canada, you effectively follow the same wise decisions that historical emperors, famous kings, and successful business people have made. By investing a portion of your money in silver bars, you are securing a long-term store of value with significant and sustained global demand.
Even though silver shares or stocks from silver mining firms have been profitable for many, you ultimately depend on technology to function properly so you can buy or sell them when you're ready.
Additionally, stockbrokers may not always react as swiftly as you would like them to when you involve them in a transaction. You should therefore be able to purchase silver bars personally in Canada.
An alternative to silver is to invest in crypto or stocks. You can take advantage of the many signup bonuses credit cards and cryptocurrency exchanges have to offer and also use those platforms to invest in crypto:
- Kraken: $10 bonus after depositing $1 or more
- Bitbuy: $30 bonus after depositing $250 or more
- Newton: $25 bonus after depositing $100 or more
- VirgoCX: $20 bonus after depositing $100 or more
Cheapest Places To Buy Silver Bars In Canada
One of the cheapest, safest, and simplest ways to own Silver is by purchasing Silver bars. Due to their lower premium over silver spot price compared to silver coins, silver bars are the bullion of choice for many investors. Additionally, Silver bars are simple to store, count, and transfer due to their constant shape and size. For further protection, each silver bar is stamped with its precise silver weight, purity, and serial number.
The Canadian retailers listed below are generally regarded as the cheapest and most reliable options among silver bar sellers.
This is the largest online silver bar store. Visit their website to see the many affordable silver bars they have available. Although their rates are not the lowest in Canada for non-ape products, they have the most options. There is also fantastic free shipping when you spend above $299.
This is a more compact business with real sites. They offer great deals, but there is a much smaller selection, and shipping is expensive. They have the best online deal in Canada for platinum.
This company has a lot of experience in the game. They also sell exceptional, exquisite, and one-of-a-kind silver. Deals worth over $500 get free shipping.
This is a fantastic website for artistic bullion run by a fantastic individual. The emphasis is on low mintage, exceptionally aesthetic coins, occasionally including ordinary bullion. Purchases over $250 are sent for free.
Coinshoppe is another internet merchant that stocks a lot of bullion but focuses mainly on low-mintage art coins. Free shipping is available on purchases of $200 or more.
Aubullion is one of the cheapest dealers but is nevertheless in good demand. Orders must generally be larger to average that cost because there is no free shipping.
Beaver bullion is one of the largest sources of hand-poured silver in Canada. They offer excellent service and top-notch products. They also provide a few web locations where Canadians can get silver bars at the cheapest rates.
Buying Silver Bars In Canada FAQs
Is it a smart idea to invest in silver?
Although silver can be volatile, it is also regarded as a safe-haven asset, much like its sibling metal gold. In uncertain times, safe-haven investments can protect investors. With tensions at an all-time high, they can be a wise choice for anybody trying to preserve their wealth.
Can you purchase silver in a nearby bank?
Although some banks sell gold bars and coins together with silver coins, most banks do not make gold or silver readily available to the general public. Banks often avoid selling precious metals because of their price volatility.
How will silver fare in the event of a dollar crash?
Silver's value will soar in the case of a U.S. dollar devaluation. So it could be a clever idea to diversify some of your wealth by investing in silver. It's reasonable to begin with a bit of monthly investment.
Which is more valuable: silver or gold?
If you want to invest for times of prosperity, a solid rule of thumb is to buy silver. Silver is a speculative asset that's somewhat predictable and is projected to yield positive returns well into the future. If you're investing for hard times, though, buy gold.