Silver ( - The second precious metal that could break your return records

In recent weeks, investors around the world have started to overlook Silver and are now paying serious attention. The price of silver bars has surged, significantly changing the market value. This article will highlight why silver may become a better investment than gold and how Thai investors can get started.

Why is Silver back in focus? Unprecedented industrial demand

The surprising fact is that silver bars are not just ancient metals used as currency 4,000 years ago, but are also crucial for the future of technology.

Data from the World Silver Survey 2025 reveals that the Silver market is experiencing an unprecedented deficit for the fourth consecutive year. Industrial demand hit a record high of 680.5 million ounces in 2024, accounting for nearly 59% of total demand.

The reasons lie in silver’s unique properties that no other metal can replace:

• Excellent electrical and thermal conductivity, essential in all types of electronics
• Highest reflectivity, enhancing solar panel efficiency
• Antibacterial properties, widely used in medical applications
• Flexibility in processing, suitable for microelectronics

The transition to clean energy, electric vehicles, 5G networks, and artificial intelligence all rely inevitably on Silver.

What happens when demand soars but supply cannot keep up?

The supply side is facing difficult-to-solve problems. The stagnant silver production volume cannot meet the rising demand.

Macroeconomic factors driving prices:

• Monetary policy and interest rates: The Fed’s interest rate cuts in 2025 have become a primary catalyst for silver prices to surge
• Dollar value: When the currency weakens, foreign investors can buy silver more cheaply, increasing demand
• Economic uncertainty: Silver acts as a hedge against inflation and risk, similar to gold

Silver vs. Gold - Are they the same or different?

Gold/Silver Ratio (GSR) measures the relative valuation of each metal. Currently, the GSR is around 84:1, higher than the historical average.

The gold market is approximately $30 trillion, while silver is only about $2.7 trillion. This smaller size means that when capital flows in, silver tends to appreciate more strongly.

Bars of (Silver) are more volatile than gold by 2-3 times, which is a double-edged sword. In a bear market, silver may fall more sharply, but in a bull market, it can rise faster and higher.

Why is silver different? Because central banks worldwide do not hold silver as part of their reserves, making silver prices more linked to economic cycles and industrial demand than to monetary policy.

4 investment channels for silver for Thai people

( 1. Bars and coins - Touch-and-hold investment

For those who want to hold physical assets, leading gold and silver shops in Thailand such as Ausiris, MTS Gold, Bowins Silver, and SNP Gold sell silver bars and coins for investment.

Advantages: Ownership of real assets, no counterparty risk, privacy Disadvantages: High capital requirement, high premium )Premium###, storage and insurance costs, low liquidity

( 2. Funds and mining stocks - Indirect investment methods

DAOL-SILVER and DAOL-GOLD funds focus on investing in silver mining company stocks worldwide, such as Pan American Silver, Wheaton Precious Metals, Fresnillo.

Advantages: High liquidity, easy trading, no storage needed Disadvantages: Company-specific risks, prices may not align with global silver market

) 3. Futures contracts - For professional traders

TFEX Silver Online Futures reference 99.9% pure silver prices, with a contract multiplier of 3,000 times.

Advantages: Low initial investment ###Leverage###, profit in both rising and falling markets Disadvantages: Very high risk, complex, expiration date of contracts

( 4. CFD trading - Flexible and accessible

Trading silver )XAGUSD### via CFD platforms like Mitrade is highly popular. It requires low initial capital and offers high flexibility.

Advantages:

• Low capital requirement (Leverage)
• Profit in both directions
• No hidden costs, no storage worries
• High liquidity, nearly 24-hour trading
• No commission, low spreads

Disadvantages: Risks from leverage, need to choose a trustworthy broker

Mitrade is suitable for Thai investors, offering reliability, no commission, low spreads, and a free demo account with $50,000 virtual funds plus bonuses (for new customers

Pros and cons of investing in silver

) Opportunities to consider

1. Potential higher returns than gold: High volatility and high GSR make silver capable of offering higher percentage gains in a bull market

2. Long-term steady demand: The mega trends of clean energy and digitalization are irreversible, continuously supporting silver demand

3. Affordable price: With a much lower per-ounce price than gold, retail investors can access it easily

4. Inflation hedge: Silver has a long history of preserving value and protecting against fiat currency devaluation

$100 Risks to watch out for

1. High volatility: The risk of severe short-term losses due to high volatility compared to gold

2. Economic sensitivity: Over 50% of demand comes from industrial sectors, making silver sensitive to global economic slowdown

3. Holding costs: Physical silver storage incurs costs, insurance, and theft risks

4. No additional returns: Silver does not pay interest or dividends; gains come solely from price differences

Final summary

Silver is no longer a secondary metal but a vital asset for the modern global economy. The imbalance between demand and supply, coupled with price volatility, makes silver a promising investment option for those willing to accept risks.

For Thai investors eager to seize this opportunity, trading CFDs via a trusted platform like Mitrade is an easy, flexible way with relatively low initial capital.

Whether to invest or not depends on your goals and risk appetite, but it’s undeniable that silver is regaining attention.