geobeo schreef op 30 januari 2021 15:20:
De crux voor wat betreft zilver:
In a recent interview, David Morgan confirmed to me that the annual physical silver production is of roughly one billion ounces. With silver trading around $20 currently, this represents a $20 billion market for physical silver.
So the size of the physical silver market is of $20 billion, whereas Bloomberg is mentioning $5 trillion.
How can such a difference be explained?
Well, these $5 trillion represent the entirety of the « paper » silver market, including all « paper » financial products (certificates, options, ETFs etc.) derived from the real physical market and allowing investors to be « exposed » to silver.
This makes for a 250 to 1 ratio between the « paper » market and the physical silver market.
This would mean that, for every ounce of physical silver, there are 250 ounces of « paper » silver circulating in several financial products. In other words, only one contract or certificate issued out of 250 would be convertible in physical silver.
The disconnect between physical and « paper », or virtual, markets is considerable.