Gold vs Silver Chart: $100 Invested Since 1975

This chart tracks the value of $100 invested in gold vs silver since 1975. Over the past 50 years, the gold investment would be worth about $1,800 – more than double the silver one (~$800). But gold hasn’t always been ahead of silver. The silver investment had higher peaks in 1980 and 2011 (major bull market tops for the metals).  

Why has gold beaten silver over the years?

Gold tends to lead because it’s the ultimate safe haven. Investors turn to it when trust in fiat money or financial systems breaks down. Gold is also easier to store and trade in large amounts – which matters for big players.

Silver, on the other hand, is part precious metal, part industrial commodity. That gives it more volatility – it can lag in slow economies, then spike during big booms or inflation scares. 

Silver tends to move more explosively when it moves, though. That’s why it briefly outshone gold in past manias. But between the peaks, gold’s steady strength has made it the better long-term investment.

Gold vs silver: which is the better bet now?

In the past, silver has played catch-up in big bull runs – like in 1980 and 2011. In both cases, it briefly outperformed gold. Gold is technically in a bull market now, so you might be wondering whether to trade in some gold for silver. 

Here’s something to consider: silver is still below its 1980 and 2011 highs, yet gold has kept making new highs. In other words, gold’s had a much stronger long-term uptrend – and strong trends usually happen for a reason.

The next chart shows the silver vs gold ratio since 1975 – the cost of an ounce of silver in ounces of gold. The ratio is historically cheap: it would now cost just 0.01 ounces of gold to buy one ounce of silver. 

The above chart might suggest that silver has more short-term catch-up potential, but gold’s long-term strength speaks for itself.

As usual, none of this is investment advice. If you liked this analysis, check out my free newsletter for how-to guides and investment insights across crypto, stocks, metals, and more.