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6 Silver ETFs have doubled lump sum in 3 years but know these points before investing
4 min read | Updated on October 13, 2025, 18:21 IST
SUMMARY
The mouth-watering one-year performance may encourage many investors to consider investing in silver ETFs. However, silver ETFs are a new type of exchange-traded fund that have come up in last 2-3 years but become popular due to a sudden surge in silver prices.
Any investment decision based on a one-year or even three-year returns could be risky. Image source: Shutterstock
According to AMFI data, most Silver ETFs have delivered more than 75% returns over the one-year ending October 9, 2025.
In three years, the following six silver ETFs have delivered over 35% annualised returns till October 9:
| Scheme Name | Benchmark | 1Y Return (%) | 3Y Return (%) | Daily AUM (Cr.) |
|---|---|---|---|---|
| Aditya Birla Sun Life Silver ETF | Domestic Prices of physical Silver | 76.15 | 35.99 | 1908.12 |
| Axis Silver ETF | Domestic Prices of physical Silver | 75.96 | 35.95 | 735.64 |
| DSP Silver ETF | LBMA AM fixing Prices | 75.89 | 35.60 | 1694.77 |
| HDFC Silver ETF | Domestic Prices of physical Silver | 75.22 | 35.83 | 3061.47 |
| ICICI Prudential Silver ETF | LBMA AM fixing Prices | 76.15 | 36.00 | 10584.98 |
| Nippon India Silver ETF | LBMA AM fixing Prices | 75.58 | 35.76 | 18096.86 |
Source: AMFI, data as of October 9, 2025
Points to know before investing
The mouth-watering one-year performance may encourage many investors to consider investing in silver ETFs. However, silver ETFs are a new type of exchange-traded fund that have come up in last 2-3 years but become popular due to a sudden surge in silver prices.
The remaining ETFs have been launched in the last 1-2 years to tap the growing demand-supply mismatch in the precious metal.
Any investment decision based on a one-year or even three-year returns could be risky if you plan to invest for the long term.
Market-linked assets like ETFs often perform in cycles. In one cycle, they could go up and fall in another cycle. In the past, silver prices have witnessed up to 80-90% drawdowns.
An investor should ideally look at longer durations for a better understanding of a fund's past performance. Long-term performance underscores the resilience of a fund or any financial asset.
Silver ETF prices are soaring as more investors seek to include some silver in their portfolios. However, the demand-supply mismatch in silver markets has led to a significant premium for investors, both in the physical and digital markets.
If you plan to buy silver ETFs now, you may have to pay a steep premium over the actual value of silver.
Therefore, before investing in a silver ETF, it is important to check the intrinsic value of its units. This can be done by reviewing the iNAV (Indicative Net Asset Value) of the silver ETF on NSE website or through your broking platform. In case the iNAV is higher than the trading price, then you should ideally wait till the iNAV and trading price become similar.
Silver as an investment asset is considered more volatile than gold. The current surge is due to a demand-supply mismatch. There could be a correction if this mismatch is fixed. Therefore, you should tread cautiously before investing in silver ETFs.
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