Silver bars are rectangular in shape. They contain some silver. Some of them are considered “investment grade.” These are the ones that precious metals collectors want to collect. There are also artistic silver bars that niche collectors want to own. Regardless of the type of silver bar you decide to purchase, its value will still vary based upon its weight, purity, collector appeal and the current state of the precious metals market. As such, you will want to make sure that you understand all of these things before opening your pocketbook.
The Difference Between Investment And Artistic Grade Bars
Investment grade bars are the bars that most people are referring to whenever they talk about silver bars. Investment grade bars contain 99.9% silver, which is commonly written as “.999 purity.” People typically purchase these silver bars only when this is clearly stamped on them.
On the other hand, artistic grade bars are silver bars that have a design that is either etched or engraved in them. This is what generates their niche collector value. For instance, an artistic bar may be produced for a sporting championship or the commemoration of an event. As such, they are usually valued at a premium over the metal price. Of course, this premium will depend upon just how popular the design actually is.
Understanding Factors Affecting Value
As was mentioned previously, there are some factors that influence the bar’s value. This includes:
- Weight. A silver bar weighing less than one troy ounce is an ingot. They can be made in any size but are commonly made in 1, 10, 100 and 1,000 troy ounces.
- “925” This is something that is marked on a lot of bars. It means that they are sterling silver (92.5% silver) bars. Oftentimes artistic silver bars are produced in this fashion as it keeps their price down for those who aren’t purchasing silver bars for investment’s sake.
Understanding The Value Of Silver Bars
Whenever a silver bar weighs 1 troy ounce and is .999 pure it will be valued at silver’s spot price. This is the current value that 1 troy ounce of silver is trading for on any given day. Simply multiply this price by the number of troy ounces to calculate just how much your silver bars are worth. You can also calculate the price of 1 troy ounce of silver by taking 92.5% of silver’s current price.