Price & Value Comparison
Current Market Prices
Gold-Silver Ratio
The gold-silver ratio shows how many ounces of silver equal one ounce of gold. According to MacroTrends historical data, the average ratio over the past 5 decades is around 52.8:1, though it has ranged from 15:1 to over 123:1 (2020 pandemic peak).
Investment Signal: When the ratio is high (>80:1), silver may be undervalued relative to gold. When low (<60:1), gold may be relatively cheaper. Track the historical ratio on our comparison charts.
Investment Characteristics
| Factor | Gold | Silver |
|---|---|---|
| Primary Use | Store of value, jewelry, reserves | Industrial (50%+), jewelry, investment |
| Volatility | Lower (~15-20% annually) | Higher (~25-40% annually) |
| Market Size | ~$13 trillion (larger, more liquid) | ~$1.4 trillion (smaller, less liquid) |
| Storage Needs | Compact (high value/weight) | Bulky (low value/weight) |
| Entry Cost | High (~$2,600/oz) | Low (~$30/oz) |
| Inflation Hedge | Excellent (proven track record) | Good (more volatile) |
Historical Performance
Long-term Returns
Over the past 20 years (2004-2024), based on DiversifyGuy analysis:
- Gold: Generated an annualized return of 8.4% (5.6% after inflation). A $10,000 investment in 2004 would be worth $64,300 by end of 2024, representing a 543% total return.
- Silver: More volatile performance with periods of significant outperformance and underperformance. According to Discovery Alert data, gold achieved +491% from 1999 baseline vs silver's +271% as of October 2024.
Bull Market Performance
During precious metals bull markets, silver typically outperforms gold due to its higher beta (sensitivity to market movements). For example:
- • 2008-2011 Rally: Gold rose ~160%, silver surged ~440%
- • 2020-2021 Rally: Gold rose ~35%, silver jumped ~75%
Which Should You Choose?
Choose Gold If:
- ✓ You prioritize wealth preservation over growth
- ✓ You want lower volatility and more stability
- ✓ You need to store significant value in limited space
- ✓ You're investing for long-term (10+ years)
- ✓ You want the most liquid precious metal market
- ✓ You're building a safe-haven allocation (5-10% of portfolio)
Choose Silver If:
- ✓ You want higher growth potential and can handle volatility
- ✓ You believe in industrial demand growth (EVs, solar, electronics)
- ✓ You have a smaller budget to start with
- ✓ You're investing for medium-term (3-7 years)
- ✓ You want to trade on price swings
- ✓ You're comfortable with larger storage requirements
Best Strategy: Own Both
Many experienced investors hold both metals in a ratio that matches their risk tolerance:
- Conservative (70/30): 70% gold, 30% silver - prioritizes stability
- Balanced (50/50): Equal allocation - mixed objectives
- Aggressive (30/70): 30% gold, 70% silver - seeks higher returns
2025 Outlook
Gold Outlook
Expected to benefit from Federal Reserve rate cuts, central bank buying, and safe-haven demand. Target range: $2,400-$2,800/oz.
Silver Outlook
Industrial demand from solar energy and EVs provides fundamental support. Could outperform gold percentage-wise if precious metals rally. Target range: $28-$40/oz.
Read our detailed gold price forecast for more insights.
How to Invest
Physical Metals
Buy coins, bars, or rounds from reputable dealers. Provides direct ownership but requires secure storage.
Gold: American Eagles, Canadian Maple Leafs, 1oz bars
Silver: Junk silver coins, 1oz rounds, 10oz/100oz bars
ETFs & Funds
Exchange-traded funds offer easy liquidity and no storage concerns. Trade like stocks.
Gold ETFs: GLD, IAU, GLDM
Silver ETFs: SLV, SIVR
Mining Stocks
Leveraged exposure to metal prices through mining companies. Higher risk and reward.
Includes individual miners or mining ETFs like GDX (gold) and SIL (silver)
Futures & Options
Advanced instruments for experienced traders. High leverage and complexity.
COMEX gold and silver futures, options on futures, spread trades