Silver ETFs Deliver Over 100% Returns in 2025: What Should Investors Do Now?

New Delhi: Silver has emerged as the star performer in 2025, delivering spectacular returns to investors. Silver ETFs have now given over 100% returns this year, leaving most other asset classes far behind. This surge has left investors pondering whether they should book profits or continue holding their investments.

According to market experts, if silver now constitutes a larger portion of your portfolio than intended, it is prudent to book some profits. Selling a portion of your holdings to rebalance your portfolio back to its original allocation is a smart strategy.

Expert Advice:

• Nikunj Sarraf, CEO of Choice Wealth, suggests that after a 110–130% rise in silver, investors should consider taking profits. He recommends withdrawing 25–33% of gains and reinvesting when prices correct. He emphasizes that silver remains a good long-term investment (5 years), but investors must avoid emotional decisions and follow a disciplined approach.
• Rajesh Minocha, Founder of Financial Radiance, notes that while demand for silver remains strong, short-term investors should be cautious of volatility. He advises booking partial profits during rallies to secure gains.

Returns Snapshot:
So far in 2025, Silver ETFs have delivered an average return of 127.31%. Among individual funds:

• UTI Silver ETF: 130.02%
• SBI Silver ETF FOF: 129.46%
• Nippon India Silver ETF: 127.61%
• Tata Silver ETF: 122.68%

Is It Too Late to Invest?
Minocha cautions that investing large amounts at current levels may not be ideal; silver should only represent 5–9% of the total portfolio. New investors are advised to enter gradually through SIPs rather than investing a lump sum. Sarraf adds that it is not too late to invest, but avoid putting in large sums at once. According to him, a price dip to ₹1,70,000–1,78,000 per kg could present a good buying opportunity.

Outlook for 2026:
While silver has crossed ₹2 lakh per kg, Minocha expects returns in 2026 to be moderate, with occasional price corrections. Sarraf remains optimistic due to rising demand from the solar sector and global supply constraints, suggesting that silver may continue to remain strong next year.