Silver Ounce
Also: Fine ounce silver, oz Ag, Silver Ounce, troy oz Silver
The silver ounce is the international standard unit for silver trading and refers to one troy ounce of silver weighing 31.1035 grams.
The silver ounce is the world's most widely used trading and pricing unit for physical silver. It always refers to the fine ounce (troy ounce, abbreviated oz t or oz tr) from the historical troy weight system – not the lighter avoirdupois ounce used in everyday commerce. The current silver price is quoted on international futures exchanges and at the LBMA fixing in US dollars per fine ounce.
Weight and distinctions
One fine ounce equals exactly 31.1034768 grams – rounded to 31.1035 g in daily use. The related but heavier avoirdupois ounce (28.3495 g) is expressly not used for precious metals. Those needing conversions will find quick assistance in the melt value calculator.
| Unit | Grams | Ratio to fine ounce |
|---|---|---|
| Fine ounce (troy oz) | 31.1035 g | 1.0000 |
| Avoirdupois ounce | 28.3495 g | 0.9115 |
| 10 grams | 10.0000 g | 0.3215 |
| Tola (India) | 11.6638 g | 0.3750 |
Fineness: what is a "silver ounce" worth?
The spot price refers to fine silver, i.e. 999.0 ‰ (‰ = per mille silver content). Physical products vary in fineness:
- Fine silver bars (999 / 999.9): full correspondence with the spot price; the silver calculator provides the exact melt value.
- Bullion coins (999 / 999.9): Maple Leaf, Vienna Philharmonic (silver), American Eagle – fineness = spot basis, plus premium. The American Silver Eagle has been consistently 999 ‰ fine since its introduction in 1986 (1 oz gross weight = 31.1035 g); the 2021 redesign changed only the motif.
- Sterling silver cutlery (925 ‰): The coin weight checker allows calculation of fine weight from gross weight and fineness.
Fine weight (g) = Gross weight (g) × Fineness (‰) ÷ 1000
Melt value = Fine weight ÷ 31.1035 × Silver price (USD/oz)
Major silver coins in the "1 oz" denomination
The classic trading size for investors is the 1-ounce bullion coin. Fractional sizes (½ oz, ¼ oz, 1/10 oz) and larger pieces (2 oz, 5 oz, 10 oz, 1 kg) also exist.
| Coin | Issuing country | Fineness | Face value |
|---|---|---|---|
| Vienna Philharmonic (Silver) | Austria | 999 ‰ | 1.50 € |
| Maple Leaf (Silver) | Canada | 999.9 ‰ | 5 CAD |
| American Eagle | USA | 999 ‰ | 1 USD |
| Britannia (Silver) | Great Britain | 999 ‰ | 2 GBP |
| Kangaroo / Nugget (Silver) | Australia | 999.9 ‰ | 1 AUD |
| Krugerrand (Silver) | South Africa | 999 ‰ | none |
Taxation in Germany
Note: This is not tax or investment advice.
Silver in Germany is subject to the full VAT rate of 19%. This significantly raises entry costs compared to investment gold – which is VAT-exempt. On a profitable sale, the speculative holding period (§ 23 EStG) applies: if silver is sold after more than 12 months of holding, the gain is generally tax-free. Please verify the details of tax thresholds and allowances with a tax advisor.
Market structure and price formation
The silver price in USD/oz is determined twice daily by the LBMA Silver Price Fixing (electronic auction) and serves as the global reference. In parallel, futures contracts are traded on the COMEX (Chicago), where the standard silver contract covers 5,000 fine ounces. Private investors typically buy at a dealer price = spot price + premium (agio), which covers minting, storage, and dealer margin.
In brief
The silver ounce is the indispensable unit of measurement for every silver market – from the individual coin to the LBMA Good Delivery bar. Anyone buying or valuing silver should always distinguish between gross weight and fine weight and keep the tax implications (19% VAT, speculative holding period) in mind.