India’s Silver ETF AUMs Surge 266% to ₹13,500 Cr in 2025

Chennai: Silver exchange traded funds have seen massive growth in Assets under Management in less than three years, crossing the 13,500 crore mark in January 2025.

SEBI had allowed Asset Management companies to launch silver ETFs in November 2021. Since then, silver ETFs have seen massive growth. In January 2022, the AUMs stood at Rs 123 crore and they jumped to Rs 1651 crore by January 2023. Silver ETF AUMs have seen the steepest climb in 2024 from Rs 3705 crore in January 2024 to Rs 13,566 crore by January 2025 – a growth of 266 per cent.

Twelve silver ETFs also have crossed 6 lakh investor folios across them as of January 2025, growing from 1.9 lakh in January 2024, as per the data of Zerodha Fund House.

The growth indicates that Indian investors are taking exposure to silver. As investors seek diversification and exposure to commodities, Silver ETFs provide a simple and hassle free way to take exposure to this precious metal.

“The increasing transaction volumes of silver ETFs are a clear indication of growing investor interest. These ETFs offer an alternative to physical silver ownership, addressing concerns about storage, security, and insurance while providing access to silver's price movements,” Vaibhav Jalan, CBO of Zerodha Fund House said.

While silver has been tracking the gold prices amidst global geopolitical and geoeconomic uncertainties, the overall industrial demand for silver has increased by more than 55 per cent driven by its applications across various industries, including automotive, technology, pharmaceuticals, and solar energy.