Silver is often called the "poor man's gold." But with rising industrial demand, is Chandi actually a better investment than Sona?
The Gold/Silver Ratio
Investors often look at the Gold/Silver ratioΓÇöhow many ounces of silver it takes to buy one ounce of gold. Historically, when this ratio is exceptionally high, silver is considered undervalued compared to gold.
Industrial Demand for Silver
Unlike gold, which is primarily hoarded for investment and jewellery, silver is an essential industrial metal. It is used heavily in solar panels, electric vehicles, and electronics. This industrial demand gives silver unique price drivers.
Volatility and Storage
Silver is significantly more volatile than gold, meaning it can offer higher percentage gains during bull markets, but sharper drops during crashes. Additionally, because silver is much cheaper per ounce, storing large amounts of wealth in silver requires significantly more physical space.