My freetrade dividend journey on YouTube

PHSP.L tracks the price of silver, so basically silver in general :+1:t4:

Not sure if I mentioned it in the video but I’d like to add about £2,500-£3,500 :+1:t4:

I’ve done OK with Wheaton Precious metals in the past. I’ve bought when silver was low and sold when it went up. Unfortunately not on freetrade yet, I put a request in but I think I’m the only person who’s voted for it :rofl:

Do some of the reasons for the low price of silver (I.e. depressed Argentinian currency) concern you?

I don’t think silver is particularly low at the moment, if you disregard a couple of short term spikes up to near $50 it’s about as high as it’s ever been

The silver-gold ratio is at a 25 year low and the price of gold has only really been free floating for half a century now.

I love the idea of using precious metals as a hedge, certainly one I’d like to to dig into a bit more. I haven’t a clue about commodities and metals and am curious.

There is a useful chart and dataset linked here that shows US equities compared to both gold and silver over a pretty long historic range. It also links to the data sources for the charts if cases it’s helpful for some more analysis.

During the financial crisis the stock markets lose around 50% of their value from September 2007 to February 2009. Over the same period silver also lost value.

The silver price hike doesn’t start to outpace equities until the Autumn of 2010 at which point equities and silver have been recovering for around 18 months and silver is around $25. By the spring of 2011 it has reached $40.

During the dotcom crash in 2000 the US markets lost around 40% but the silver price also lost a little value. Again the silver price moves up as equities are recovering, the silver price doubling from around $4 to around $8.

In the most recent significant sell off between October and December of 2018, US markets dropped by around 20% but the silver price went sideways. As equities recovered silver increased from $14 to $18.

During the financial crisis Silver did make a 5x increase if you are able to buy at it’s lowest point and sell at it’s highest point. But there doesn’t seem to be a perfectly negative correlation between equities and silver such that a discount in stock prices happens at the same time as an increase in the price of silver. None of which means your hedging strategy won’t work, but it might require some fancy footwork to buy and sell at the right times.

New YouTube video on BEYOND MEAT SOLD BEYOND MEAT & MADE £550 IN 4 DAYS - YouTube

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You buy Beyond Meat and end up with a nice wedge of Bangers and Mash :ok_hand:t3: