Silver Bullion Bars
Silver bullion bars are another popular way of investing in silver although not quite as popular as Silver American Eagles, Canadian Maple Leafs or pre-1965 U.S./pre-1968 Canadian silver coins.
Common sizes are 1 ounce, 5 ounce, 10 ounce and 100 ounce silver bars. 1000 ounce silver bars are available but, because of their size and weight (80 pounds), it is common for investors to pay an institution to store them rather than take physical possession.
Pictured at left is a 10 ounce silver bar. Most bars contain a "Hallmark" identifying the manufacturer (refiner), weight and purity. In this case Johnson Matthey, one of the top refiners of silver bars, has included their logo and stamped a serial number on this .999 silver bullion bar.
Why should you consider investing in silver bars? Probably the main reason is you can usually get more silver for your money than with other forms of silver because of the lower premiums. Although there are different types and themes, I recommend staying with those bars that contain the Hallmarks/Logos of the refiner which state the weight in troy ounces and silver fineness with .999 pure silver most common. See the one ounce examples below (click on image for a larger view).
Engelhard Silver Bars
One of the most respected producers of silver bullion bars was
the Engelhard Corporation. They began producing silver bars in the
mid-1970's and continued through 1988 when precious metals prices
dropped and demand became too low for them to continue. They are
still somewhat easy to find and if you can locate any bar (gold,
silver or platinum) or gold and silver rounds (e.g. Prospectors)
produced by Engelhard that fits your investing budget, don't
hesitate to buy (see warning below).
The most common sizes of Engelhard silver bars are the standard
one troy ounce, the 10 troy ounce and the 100 troy ounce but they
also produced several "odd" sizes such as 5 gram, 10 gram, 3
ounce, 7 ounce, 500 gram, etc. These non-standard sizes were
produced in much smaller numbers.
You can expect to pay more for the standard Engelhard products
versus similar products from other producers/refiners. Not only
are they no longer produced, they remain an investor favorite due
to their excellent reputation as quality products. And because the
odd size silver bars are much harder to find and much in demand,
expect to pay even higher premiums when buying, and insist on a
good price over their silver melt value when selling.
There are a few good online sources of information regarding
Engelhard silver bars. But the most comprehensive site I found is
at All Engelhard.
Under the "Definitive Pages" heading, you can select which
weight(s) you are interested in and proceed to detailed
information such as mintage totals and various markings.
Beware of Counterfeit Silver Bars
Unfortunately there are a number of very good counterfeit silver bars available. You must be careful not only what you are buying but who you are buying from. My suggestion is to deal with a licensed/reputable dealer for these purchases. The premiums may be higher but the honest dealers know how to weed out the fakes plus stand behind their products. If you decide to try your luck at one of the auction sites or Craigslist, you will encounter fakes sooner or later.