Talking Numbers

This Metal Has Beaten Gold

Talking Numbers

So, with both gold and silver up this week, will silver outpace gold if and when there’s a rebound?

Here’s a fun fact: An investment in silver exactly nine years ago today would be up 243.75% while an investment in gold would have given you 227.07% by now. But, if you invested in in both just one day later (July 16, 2004), you would get 197.99% for silver, 217.85% for gold.

Likewise, an investment three years ago today would have given you a total return of 8.7% in silver and 6.4% in gold.

Using several time frames over the last five years, gold has generally done much better than its tarnish-prone best friend. Still, the past couple of years have been dismal for both:



1 week



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1 year



2 years



3 years



5 years



9 years



10 years



To be sure, the fundamentals are quite different. Silver is more abundant and widely used in industrial production. Gold is a favorite with Scrooge McDuck and people who have been hiding in their bunkers since before the Y2K crisis blew over.

And, when it comes to what “managed money” (ie, hedge funds and the like) have been investing in, the US Commodities Futures Trading Commission (CFTC) shows them long $2.8 billion in silver contracts and short $2.3 billion. However, they’re long $14.9 billion and short $10.3 billion in gold.

So, with both metals up this week, will silver outpace gold if and when there’s a rebound?

We ask Talking Numbers contributors Enis Taner, Global Macro Editor at, and Richard Ross, Global Technical Strategist at Auerbach Grayson, if putting your money in an element with 47 protons is better than one with 79.

Watch the video above to see Taner and Ross analyze silver.

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