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Gold and silver have long been go-to investments for those looking to diversify beyond stocks and bonds. Both serve as stores of value and a financial cushion during uncertain times, but they don’t always move in lockstep or serve the same purpose in a portfolio.

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In short, investors tend to favor gold for wealth preservation and stability, and silver for higher growth potential and exposure to industrial and economic trends.

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Here’s how the two metals compare across price behavior, market demand and investment use cases, so you can decide which works best for your investments.

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Generally, “gold is better suited for investors who want an inflation hedge and a lower-volatility asset,” says Ekenna Anya-Gafu, certified financial planner and founder of Pacific Canyon Investments, a fiduciary wealth management firm. “Silver has usually attracted investors who are more speculative on economic growth or who want exposure to industrial commodities.”

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The right choice depends on your goals and how much risk you’re comfortable taking on.

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Gold might be a better investment if you want…

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Silver might be a better investment for you if you want…

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Before diving into how each metal fits in a portfolio, here’s a quick gold-silver investment comparison:

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According to…

Original source: https://www.usatoday.com/money/

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