Last Updated : 24 July 2009 at 19:10 IST

China adds silver lining to investment option

SHARE THIS STORY

BEIJING (Commodity Online): China has finally realized the importance of silver as an investment option and cleared the way for people to put their money on silver bars.

The bars are available in 500 gm, 1 kg, 2 kg and 5 kg with a purity of 99.9 per cent. This move comes after the increasing importance of silver is felt in all bullion markets across the globe.

In 2007, Gold was 50 times more expensive than silver. But now that figure has reached to over 70 times, the highest in the past five years.

According to market analysts, silver has been undervalued in recent years. The metal is a wise investment for individual investors, and could be a good way to cash in.

Beijing Caibai Shopping Mall is the first to offer silver bullion as an investment opportunity. The price for the first batch of the bullion is set very low, close to the cost of the raw material. The investment threshold is not high, and is more suitable for the general public. Silver is much cheaper than gold.

Meanwhile, Royal Canadian Mint has launched the third and final issue of the world’s first series of bullion coins honouring the spirit of Olympic Games. The Mint’s Ottawa facility will produce up to gold 50,000 coins for the 2010 issue and the silver version will be produced on demand.

The Mint has been delighted by investor and collector response to the first two issues of its Vancouver 2010 Olympic Winter Games Gold and Silver Maple Leaf bullion coins and is looking forward to a repeat success as its newest Vancouver 2010 Olympic Winter Games bullion coins are launched with only months remaining before the excitement of the 2010 Winter Games.

The Vancouver 2010 Olympic Winter Games Gold Maple Leaf bullion coin is made of one ounce of 99.99% pure gold and bears a $50 face value. Bearing a $5 face value, the Vancouver 2010 Olympic Winter Games Silver Maple Leaf bullion coin is struck from one ounce of 99.99% pure silver. The reverse of the coins features an ice hockey player in full stride, flanked by two maple leaves. The design is the product of collaboration between the Mint’s Bullion and Refinery and Engraving teams. Both coins are now available through the Mint’s extensive network of bullion dealers.