• 1st mined in 3000 Bc in Turkey

• Mined mainly in Peru, Bolivia,

Mexico, Australia.

• Sources

Directly mined.

Byproduct of gold,lead,copper

HISTORY OF SILVER

TOP TEN SILVER PRODUCING COUNTRIES

ECONOMIC INDICATORS AFFECTING THE SILVER PRICE

• Unemployment rate

• GDP

• Non- farm Payrolls

• Home Sales data

• Manufacturing Index

• Trade Balance

FACTORS AFFECTING THE SILVER PRICE

• Supply & demand

• Inflation

• Oil

• Political Scenario

• Dollar Index

• Speculation

• World Economic Situation

WE ARE SURROUNDED BY SILVERMOST CONDUCTIVE METALELECTRONICS BIGGEST DRIVER OF SILVEREVERY THING WE USE HAS SILVER IN ITINDUSTRY DEPENDS ON SILVERINDUSTRIAL AND PERSONAL USE

• WE ARE SURROUNDED BY SILVER

• MOST CONDUCTIVE METAL

• ELECTRONICS BIGGEST DRIVER OF SILVER

• EVERY THING WE USE HAS SILVER IN IT

• INDUSTRY DEPENDS ON SILVER

• INDUSTRIAL AND PERSONAL USE

INDISPENSABLE METAL OF LIFE

SILVER AS AN INVESTMENT

• LAST YEAR RETURN OF 80%

• DOES NOT LOOSE ITS VALUE UNLIKE CURRENCY NOTES

• HIGH DEMAND FOR INDUSTRIAL USES

• SCOPE FOR GROWTH

VEHICLES OF INVESTMENT

• BARS

• CERTIFICATES

• EXCHANGE TRADED PRODUCT

• ACCOUNTS

• DERIVATIVES , CFDs AND SPREAD BETTING

• MINING COMPANIES

• DEMAND HAS INCREASED BY MANY FOLDS

• DEFICIT THERE FOR 16 YEARS

• SILVER MINING INSUFFICIENT TO MEET YEARLY DEMAND

• NO MAJOR STOCKPILES OF SILVER ARE LEFT IN THE WORLD

SILVER DEMAND/SUPPLY IMPORTANT

• BANDAGES• BATTERIES• CELL PHONES• COMPUTERS• SATELLITE• HI TECH WEAPONS• ELECTRONIC CIRCUIT BOARDS• SOLAR CELLS• JEWELLERY• COINS• WIRES AND CABLES• LAPTOPS• CAMERA

DEMAND OF SILVER

SILVER DEMAND INDUSTRY WISE (% of Total Fabrication)

• HIGH GROWTH HAS LEAD TO INCREASE DEMAND EXPONENTIALLY

• CHINESE USE 70 TIMES THE SILVER THAN AMERICANS

• DEMAND FACTOR

• INDUSTRIAL DEMAND IS MORE THAN THAT OF U.S

• HIGH POPULATION HIGH DEMAND

CHINA FACTOR

• Declining U.S $ has less purchasing power

• Silver with Gold acts as a real money for over 5000 years

• Encourages investment

• Makes silver a profitable short term investment

EFFECT OF DECLINING U.S $

GOLD vs SILVER

GOLD• Pure asset in world• Is medium of exchange• Lightweight for the value • Fairly easy to identify. • Ductility • Gold is a very Private Investment. • Gold purchases are not subject to mandatory

government reporting . SILVER

• Silver - more than just a way to preserve wealth

• Prices has more then doubled from last year.• An investment with solid fundamentals.• Rising demand for the white metal has

outpaced investor fascination for gold.

SILVER 2011

SILVER PRODUCTION & DEMAND

SILVER WORTH MORE THAN GOLD

Click on the Image to see this video

GOLD SILVER RATIO

1.Direct Leasing• Central banks are involved in the leasing effect i.e taking gold/silver to “bullion bank

who pay 1% interest and sell the metal in the open market for 3 % return to buy Treasury bonds .

• Major firms involved are Bank of America, Barclays, Citigroup etc.• leasing effect of gold/silver increases the supply for industrial, commercial, and

investment uses,• Central banks and the bullion banks are insensitive to the price of gold or silver

2. Gold and Silver Swaps- • two central banks swap hordes of gold/silver—with the objective of muddying the

accounting waters. Or , • one central bank’s gold reserves, are lent for currency to another central bank Which

are considered as “collateralized loans,” and thus not appearing in the balance sheets.

3. Mining companiesMining companies borrow gold/silver from the Fed or other central banks, sell it, and replace it with new gold fresh from the mine.

ROLE OF CENTRAL BANKS IN SILVER vs GOLD

1.Direct Leasing

2. Gold and Silver Swaps

3. Mining companies

UNITED STATES CRISIS AND SILVER PRICES

Since the end of 2008, the US Federal Reserve, the Central bank of US, has pumped nearly $2.3 trillion Into the American Financial System in the hope of reviving the moribund economy. It ended on June 30, 2011.

During this period Silver price increase from $19.09 to $34.69 growth of 81.72% and dollar index decrease from 82.91 to 74.40 down by 10.3%.

Since the end of 2008, the US Federal Reserve, the Central bank of US, has pumped nearly $2.3 trillion Into the American Financial System in the hope of reviving the moribund economy. It ended on June 30, 2011.

During this period Silver price increase from $19.09 to $34.69 growth of 81.72% and dollar index decrease from 82.91 to 74.40 down by 10.3%.

The Outlook for Silver Remains Very Bullish due to the following reasons :-1. Continuing and increasing global macroeconomic, currency and geopolitical risks

2. silver's historic role as money and a store of value

3.significant industrial demand and increasing investment demand.

4. high silver prices in the long run due to inflation and stagflation as the global monetary and fiscal reflation affects the value of fiat currencies.

5. Silver is in effect a leveraged sister of Gold. Investors use gold more for wealth preservation purposes and silver in order to make a return.

American Silver Eagle Coins are the official silver bullion coin of the United States released on November 24, 1986. Lowest Price: $4,466.00 and Highest Price: $4,665.51

IS SILVER BULLY ?

1. Continuing and increasing global macroeconomic, currency and geopolitical risks

2. silver's historic role as money and a store of value

3.significant industrial demand and increasing investment demand.

4. high silver prices in the long run due to inflation and stagflation as the global monetary and fiscal reflation affects the value of fiat currencies.

5. Silver is in effect a leveraged sister of Gold. Investors use gold more for wealth preservation purposes and silver in order to make a return.

• 1970-2000 -Oil prices increased continuously.

• 1990- $.80 a gallon.

• Cheap oil is gone ,cheap silver soon to be gone.

• Oil remaining harder to find and expensive to produce.

• 1990- silver was cheap and easy to produce.

• This decade dependent on electronics, will lead silver to new boom.

• Future more electronic than past.

• Better time for silver investors.

• Silver less below the ground surface.

HOW SILVER IS LIKE OIL

DEMAND IS RISING BUT SUPPLY IS NOT THER TO MEET DEMAND

AN INVESTMENT WITH SOLID FUNDAMENTA

AN IMPORTANT ASPECT FOR DAILY USE

DEMAND IS THERE AS A INVESTMENT AND INDUSTRIAL USE

$75 SILVER LOOMING$75 SILVER LOOMING

• DEMAND IS RISING BUT SUPPLY IS NOT THERE TO MEET DEMAND

• AN INVESTMENT WITH SOLID FUNDAMENTALS

• AN IMPORTANT ASPECT FOR DAILY USE

• DEMAND IS THERE AS A INVESTMENT AND AS INDUSTRIAL USE

Akshat JainGauri KappalRaveena KalraStuti BansalTushar SindhwaniVipul Garg

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