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This ETF Is A Nice Silver Bullet For Investors

Silver is a commodity many investors may not pay a ton of attention to, likely in part due to the relative outsized relevance of gold as a benchmark in terms of a store of value as well as a portfolio hedge.

Silver holds many of the same characteristics as gold in terms of widely being viewed as a portfolio hedge. Also, silver is unique in the fact that the commodity is more widely used in industrial processes. This means investors in silver are able to obtain more leverage to periods of economic growth relative to gold.

This differentiator has been bullish for the price of silver relative to gold during the past 12 months. Silver has outperformed gold as a commodity/asset class, narrowing the gold/silver multiple from around 100 before the pandemic to the 70-80 range of late.

Silver benefits from improved market sentiment around forward-looking economic expectations, so optimists and those bullish on a long-term economic recovery coming out of this mess ought to consider silver at least as part of a diversified precious metals investing strategy.

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Similar to other ETFs tracking precious metals broadly, the Global X Silver Miners ETF (NYSE:SIL) has a very low MER and provides excellent blanket exposure to investors unsure of a specific silver producer to pick. This ETF is a great way to play this sector, and the bullish thesis around economic recovery and growth, for investors inclined to do so.

Invest wisely, my friends.