Rebalancing - Ditching some silver for gold bars?
- •Alright, so I’m looking at my portfolio lately and thinking it might be time for a bit of a rebalance, especially on the precious metals front.
- •I've got around $150k tied up in physical metals right now, with about $90k of that in silver.
- •As a former bank manager in Portland, I’ve seen enough cycles to know that diversification isn't just a buzzword, it’s how you sleep at night.
Alright, so I’m looking at my portfolio lately and thinking it might be time for a bit of a rebalance, especially on the precious metals front. I went pretty heavy into silver bars (mostly 10oz and 100oz JM Bullions), maybe a little too heavy, back when everyone was screaming about the gold-silver ratio being insane. I've got around $150k tied up in physical metals right now, with about $90k of that in silver. Now, I’m wondering if it's smart to sell off, say, a good chunk ($30k-$40k worth) of those silver bars and roll that into some 1 oz or 10 oz gold bars instead for my Gold IRA.
My reasoning (and tell me if I’m off base here) is that while I love silver for its industrial applications and the potential for a bigger percentage swing, gold feels like the more stable, truly foundational hedge, especially when the global economy looks shakier than a Jenga tower after a toddler’s gone at it. As a former bank manager in Portland, I’ve seen enough cycles to know that diversification isn't just a buzzword, it’s how you sleep at night. While I'm pretty comfortable with my overall asset allocation (plenty in real estate here in the PNW and a decent chunk in blue-chip stocks), the metals side feels a little top-heavy in one direction.
I know some of you are mega silver bulls, and I totally get it – I’m still a believer long-term. But is there a point where you just have 'too much' of a good thing, even in precious metals? My Gold IRA has a decent mix of coins and smaller bars but I want to add some larger denominations here. What are your thoughts on cashing out some silver gains (or at least minimizing potential losses if it dips) to pick up more gold at current prices? Anyone done a similar rebalance recently, and if so, any regrets or happy outcomes?