Frank P

The Rise of the Silver Surfer

I think the reason Silver has fallen out of ratio is it tends to swing much wider than gold. So, yes, you can do well with silver but you can do worse too. The SLW model is likely to do even better in a good environment but in a bad one they'll be paying more than what they can sell for, which could finish them off. The miners have the same risk which is why they sell to SLW, but at least they own mines and so-forth than have value and could be sold.