Silver rounds come in many different sizes, from a tenth of an ounce to five ounces or even larger. They are a great option for those wishing to invest in pure silver bullion without the high premiums of legal tender coins. Like silver bars, silver rounds are .999 or higher purity, regardless of their weight. However, the size of the silver rounds you purchase does affect the price, ease of storage, and resale ability.
1 oz Silver Rounds
One-ounce silver rounds are by far the most common size. They are produced in large numbers by many different mints around the world. This size and shape looks very similar to a large coin and some 1 oz rounds are even designed after government minted coins. These are among the most economical ways of investing in silver bullion, and can usually be purchased at prices ranging from less than a dollar up to a few dollars over the current spot price of silver.
Why Go Bigger?
In most cases, it is financially beneficial to purchase the largest silver rounds you can afford. With larger rounds, the per-ounce price is closer to the spot price of silver. In addition, it is easier to store a smaller quantity of larger rounds than a large quantity of small rounds. However, unlike with silver bars, silver rounds are rarely produced in sizes larger than 5 troy ounces.
At the other end of the spectrum are fractional sizes – that is, silver rounds that are produced in fractions of an ounce. Options include 1/10th, 1/4th, and ½ ounce. These tend to be priced significantly higher per ounce than their larger counterparts. Fractional silver rounds are produced by fewer mints, and because production costs are fairly constant regardless of the size of the round, the premium tends to be higher the smaller the round is. In general, the smaller the size, the higher the premium.
Odd sizes, such as 2 ounce and 4 ounce silver rounds, are also available. However, these tend to be priced significantly higher per ounce than more common sizes. They are not as widely produced as the one-ounce or fractional rounds. In addition, they may be harder to resell when you decide it is time to liquidate your investment as there is a lower demand.
Some investors purchase a mix of different silver round sizes for divisibility. Because silver rounds can be found in very small sizes, they are often chosen by new investors who are looking to begin investing in bullion without making a large financial investment. They are also popular among investors who are concerned about a collapse of the currency, in which case small-sized silver rounds could be used to trade for everyday necessities. For these investors, fractional rounds may be preferable to larger-sized silver rounds, which may not be as practical for daily bartering.
For bartering purposes, it is often considered ideal to diversify your investment of silver rounds. On the other hand, other investors find it more convenient to stick to a single silver round size. If all of your silver rounds are the same size, they can easily be stacked and stored in tubes. Storage becomes more difficult after purchasing multiple sizes of silver rounds.