Median Gold Valuation as of 6/1/23: $3,969/60 USD / troy oz

Median Silver Valuation as of 6/1/23: $180.05 USD / troy oz

Valuation Methodology Overview

This article gives a high-level overview of the valuation methodology used at GoldSilverValuation.com.

We take individual gold and silver valuations with large grains of salt, and we tend to report the median of the gold and silver valuations as "the" gold and silver valuations at a particular point in time.

Consider the following hypothetical example where we have three methods for calculating a silver valuation. Using these methods, we obtain silver valuations of $50,000 USD / troy oz, $30 USD / troy oz, and $2 USD / troy oz. Any single number for the silver valuation may be "correct", but it seems unwise to rely on the extremes of $50,000 USD / troy oz and $2 USD / troy oz, or rely on the arithmetic mean of the three valuations ($16,667.33 USD / troy oz), which is heavily influenced by the extreme values. The middle, or median, silver valuation of $30 USD / troy oz seems more defendable.

At GoldSilverValuation.com we use more than three methods for gold and silver. The specific list of gold and silver valuation methods is edited from time to time, where valuation methods are removed, added, or modified. In general, for gold and silver valuations we take the median of several dozen valuation methods.

Behind the scenes, we also calculate weighted means for the gold and silver valuations when we want to use mathematical weights to increase/decrease the influence of valuation methods we deem better/worse compared to other valuation methods. We also compute confidence intervals for gold and silver valuations to get an idea for the range of valuations.

A non-exhaustive list of some gold and silver valuation methods we consider are: gold and silver spot prices, the "natural" gold to silver ratio, gold covering world sovereign debt, Dow Jones Industrial Average to gold and silver ratios, oil to gold and silver ratios, gold and silver futures, COMEX open interest ratios, linear projections of prices, year to year increase in monetary base, M1, M2, etc., to yearly gold and silver production in the United States of America, Special Drawing Rights (SDR) ratios, gold and silver prices from various times inflated to the present, minimum wage inflation arguments, silver valuation based on Roman soldier pay, and many, many more.

The specific numbers in individual gold and silver valuation methods are updated irregularly, but posted on GoldSilverValuation.com at least once per month. The updates are irregular because the public sources providing the data themselves update at different times.

Thank you for taking the time to read about the valuation methodology used at GoldSilverValuation.com.



Disclaimer: We do not provide personal investment advice and we are not qualified licensed investment advisors. We are amateur investors. All information found here, including any ideas, opinions, views, valuations, predictions, forecasts, commentaries, suggestions, expressed or implied herein, for gold and silver or for anything else, are for informational, entertainment, or educational purposes only and should not be construed as personal investment advice. While the information provided is believed to be accurate, it may include errors or inaccuracies. We will not and cannot be held liable for any actions you take as a result of anything you read here. Conduct your own due diligence, or consult a licensed financial advisor or broker before making any and all investment decisions.