For many today, the investing marketplace provides little upside. The investment markets been down, and many investors have been burned by their stocks, funds, and even their bonds. Some are now looking for a way to hedge against problems in the American and global economy, and they see precious metals as a good means of doing just that. Gold, silver, platinum, and palladium all have their advantages, and making these investments can give you the sort of diversification that youre looking for. Successful investors balance and manage their risks, and these investments are an ideal vehicle for that. Silver is an especially good place to put ones money right now, and there are many ways to do it.

The explosion in the silver investing market

According to a report from Money Morning, more investors are now putting their money in silver than perhaps ever before. More folks are investing in silver than gold in todays market, and there are certain reasons why. One is the rise of silver-related funds that make investing very easy. Another has to do with the explosion of the sterling silver jewelry market. Though this is not the primary driver of growth, it does play a major role in an investment markets long-term development. With more people putting their money into different silver investments, the iShares Silver Trust fund, which is backed by actual, physical silver, took in more than $88 million during August of 2013. Thats huge growth, and it signals that something special might just be brewing.

Why silver works as a risk balancing agent

when the economy does well, precious metal prices seem to stagnate. Investors have seen this for years with gold, as the price of gold will cease to rise when the economys doing well. This is all right for investors, as theyll make money with their investments elsewhere if the overall market remains strong. When the economy starts to hurt, though, silver, gold, and other precious metals see an increase in their prices. This is because more people throw money into these products, as they do protect against an absolute failure of the western-based economy. If things were to go terribly wrong, those holding physical commodities would have buying power, and thats what makes precious metals so attractive during those down times.

For people who want to have long-term investing success, putting money in many different types of investments is an absolute key. There is no reason to put ones faith in any single industry. Instead, spreading the risk can provide the opportunity to grow your money without the risk of losing everything if the market takes a turn. Though it would not be prudent to put all of your money in any sort of silver investment, having a percentage stashed there can give you the peace of mind that you need to move forward.

Those both gold and silver can be good investment vehicles, many are choosing silver as their precious metal of choice. Why is that the case? Its because, in many instances, the gold value has many pressures that the silver price just doesnt experience. When the Federal Reserve starts to toy with the idea of quantitative easing, the gold price will respond in a hurry, and this makes gold quite volatile in some cases. Though silver serves roughly the same purpose as gold, it does not respond nearly as easily when these kinds of forces are exerted. Many investors today are tired of having to watch the news wires to know if their gold investments are going to tumble. Silver responds more to big picture trends, and that makes it attractive.

Smart investors understand that theres a place for both gold and silver in their investment portfolio. Those who are able and willing to withstand the short-term volatility of gold can benefit when the prices rise. Having silver in ones portfolio helps to ease those troubled times, though.

The different ways to invest in silver

when many people think of investing in precious metals, they think of buying bars or coins. They want something physical that can be put in a safe. Though this is one way to invest, there are other ways that can make even more sense. Here are some of the most common silver investment vehicles going today.