Recently I E-mailed investment advisor Terry Savage to get her opinion on Silver.
Miss Savage is someone who's opinion I greatly respect, she was calling for Gold as a buy at $200 pr OZ. She also called the credit crisis before the proverbial Sh!t hit the fan. (That was one of the factors that led me to unleash my inner contrarion and buy during the chaos).
Basically I stated that since I don't have large sums to invest that Gold was out of my reach. A few ounces would be a huge proportion of my whole portfolio.
With some physical Silver and junior miners I can keep the ratio to about %10.
Here's the reply-
That's why they call silver the "poor man's gold"!! It's more volatile, more subject to economic cycles (because of its industrial use) -- but if you're buyiing as a hedge against inflation, then industrial usage won't be a consideration on the upside -- Use stops, be careful -- this is speculation, not investing. Terry
I've always thought of the industrial usage as a plus, but I can see her point and have been thinking about this deeply (Yeah! my head hurts ;) Just putting this out there for a Fool discussion.