Kolkata: The journey of silver Exchange Traded Funds (ETF) in India began on January 5, 2022 when the first silver ETF was launched by ICICI Prudential Mutual Fund. Thereafter, almost a dozen silver ETFs have been launched in the country. Reports indicate that silver ETFs have a cumulative AUM of about Rs 13,500 crore. Some of the most prominent mutual fund houses have launched silver ETFs.
A silver ETF is a type of mutual fund that tracks the price of physical silver of the highest purity level (999.0 parts or 99.9% purity). However, unlike a mutual fund, the units of a silver ETF — as indeed that of any ETF — are listed on stock exchanges. One can buy and sell units of silver ETFs like stocks through a trading account but one would need a demat account to trade in ETFs. The best point about investing in a silver ETF is that one can get exposure to the commodity without undertaking the hassles of owning and safekeeping the precious metal.
Experts point to a bright outlook for silver in the long run. They point out that the metal is an all-weather asset with multiple demand points and price drivers. They also say that silver outperformed gold in the bull runs during 2009-2011 and 2020. But the higher returns were sullied a bit by the existence of higher volatility. The diverse industrial sectors which are generating demand for silver include renewable energy, semiconductors, IT and electric vehicles. The demand from the industry also adds to the safe-haven demand for the white metal.
A few prominent silver ETFs
Let’s have a look at a few of the silver ETFs from the prominent asset management companies of India. These are:
Nippon Silver ETF: The one-year return is 6.89%. NAV stood at Rs 93.8357 as on May 27, 2025.
ICICI Pru Silver ETF: Return in the past one year is 6.03%. The NAV stood at Rs 97.5158 as on May 27.
SBI Silver ETF: Return in the past 6 months is 8.64% while the NAV on May 27 stood at Rs 96.0463. (This fund is not yet one year old.)
HDFC Silver ETF: This ETF has generated 5.26% return in the past one year. Its NAV stood at Rs 93.9599 as on May 27.
Aditya Birla Silver ETF: This silver ETF has given 6.08% returns in the past one year. Its NAV on May 27 stood at Rs 97.6082.
Kotak Silver ETF: This ETF has generated 6.01% returns in the past one year. The NAV of this ETF stood at Rs 94.9586 on May 27.
(Disclaimer: This article is only meant to provide information. News9 does not recommend buying or selling shares or subscriptions of any IPO, Mutual Funds, precious metals, commodity, any form of alternative investment instruments and crypto assets.)
Market analysts point out that the demand of silver is not only due to its safe-haven nature but also due to its myriad industrial use from sectors such as high-performance electronics and renewable energy. Silver has also outshone the performance of gold in the past. Personal Finance Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
