Peter Schiff has always recommended holding 10-20% of an investment portfolio in physical precious metals. But how much of that percentage should be in gold and how much in silver?
Generally speaking, Peter advises holding about 2/3 of precious metals holdings in gold and about 1/3 in silver. This provides a stable foundation in the resilient yellow metal paired with the strong upside potential of silver.
Many of our clients are interested in better performance in their metals investments, and therefore buy a larger share of silver. They are willing to endure silver’s short-term fluctuations in exchange for its long-term growth prospects. Silver’s ever-expanding industrial applications and apparent undervaluation relative to gold both indicate silver is likely to make big moves in the future. You can read all about silver’s bright future in the SchiffGold Special Report, The Powerful Case for Silver.
Generally, defensive investors prefer to stick with the more conservative 2:1 allocation of gold to silver. It’s ultimately up to the individual investor how to allocate his or her precious metals holdings. For some, this also includes a consideration for platinum and palladium.
