Silver coins are most commonly struck with one troy ounce of silver; however, their weight can range from dime-sized 1/10 oz to as much as five troy ounces.
That’s a vast selection for investors and collectors to consider when making coin selection decisions. While more choice is a good thing, it can be challenging to know where to begin when it comes to investing in silver. Why choose 5 oz silver coins? What types of 5 oz silver coins are out there? What’s the benefit of investing in physical silver in the first place?
Let’s take a look at the answers to all of these important questions, starting with the benefit of buying 5 oz silver coins.
For most mints, 5 oz is as heavy as silver coins get. Anyone who has ever held a 5 oz silver coin will know that the hand-filling size and weight are immensely satisfying, conveying a real sense of value and durability.
Of course, aesthetics are far from the only benefits. Heavier silver coins typically offer better value in terms of the spot price of silver itself. Think of it like buying in bulk -- you could buy five coins with one troy ounce of silver each instead of a single 5 oz coin, but the single ounce coins will probably cost a little more per ounce.
Five 1 oz coins each have to be stamped and manufactured. As you might logically expect, it costs more to make five 1 oz coins than one 5 oz coin. The difference in manufacturing cost is one factor that plays into the lower price of 5-oz coins compared to five 1-oz coins.
The most popular type of 5 oz silver coins is the limited-edition America the Beautiful silver coin series issued by the U.S. Mint. The series comprises 56 different 5 oz coin releases, each with a different design honoring a famous landmark or site in the U.S. The coin series mimics the designs found on the America the Beautiful (ATB) series of quarters issued by the U.S. Mint between 2010 and 2021. Oddly, these huge silver coins bear the same face value as their quarter-dollar counterparts.
These 5 oz silver coins are the largest bullion coins ever issued by the U.S. mint, each with 0.999 fineness of silver. Though the ATB series contains the world’s most popular 5 oz silver coins, other mints have struck their own hefty silver coins over the years.
The Perth Mint’s proof coin, the 5 oz Australian Koala, features the beloved marsupial on the obverse side with details on fineness, weight, and mintage on the reverse side. These coins were struck with 0.9999 fineness or 99.99% pure silver.
Other examples include:
Owning physical silver is very distinct from investing in silver or other intangible assets online. There is little to no counterparty risk with silver, as you don’t need another party to hold up their end of an arrangement to access or use your wealth. Properly stored and insured, your investment is as secure as it can possibly be -- after all, you can hold it in your hand.
Silver is one of the world’s oldest forms of money and has never been worthless. Silver’s value doesn’t depend on a promise to pay, or on next quarter’s revenue projections. Silver coins enjoy intrinsic value simply because they’re made of a valuable metal. Many silver coins are accepted as legal tender in their respective countries of origin. Certain coins are also eligible as investment options in a precious metal IRA, allowing you to prepare for retirement with a tangible asset.
Unlike paper-based silver traded on a computer system, your physical coins aren’t vulnerable to hacking or erasure through human error. Owning precious metals is a way to hedge against the overuse of technology in the modern world, as well as a means with which you can diversify your savings.
Silver is used for more than just coins, jewelry, silverware and other types of ornamentation. With industrial uses ranging from electronics and medicine to solar panels, batteries, and automobiles, silver’s industrial applications continue to grow even as the global inventories of silver become more depleted.
Silver and gold are the most popular choices for anyone seeking to hedge against cash inflation or the stock market’s performance with physical precious metals. Generally speaking, silver is more volatile than gold (meaning its price changes tend to be larger, in percentage terms). Because of its many industrial applications, silver tends to perform better in bull markets and offers more opportunities for capitalizing on short-term price swings than gold. On the other hand, gold tends to be more stable in price, tends to thrive when riskier assets plummet and is much more portable due to its value per ounce.
Silver is practical for beginning collectors. Although the 5 oz silver coin is a larger investment than smaller silver coins, collectors can start a diverse and fascinating collection of silver coins with only a few hundred dollars. And that affordability, more than anything else, may be the reason mints worldwide continue making new, beautiful and valuable silver coins year after year.
Shop all 5 oz silver coins here, or see the entire catalog of silver coins available at BullionMax.