SBI Mutual Fund is one of the largest mutual fund houses in the country. According to data from Value Research, SBI MF currently has about 127 schemes, of which about 40 fall under the category of passive funds. Passive funds are especially preferred because they track the performance of an index or asset and are less expensive than actively managed funds. SBI’s passive funds include index funds, ETFs and fund of funds (FoFs).
Of these SBI passive funds, three funds based on gold and silver have generated the highest returns over the last year. These are – SBI Gold Fund, SBI Gold ETF and SBI Silver ETF. These three funds have given a return of up to 51% in the last 12 months.
Why did gold and silver shine?
Both gold and silver are at their all-time high in India’s bullion market at present. Gold is trading at around Rs 1,09,500 per 10 grams and silver at around Rs 1.28 lakh per kg. In the last 12 months, gold has jumped by about 48% and silver by 54%. Funds that invest in gold and silver have directly benefited from this rally.
Now let’s know about the three SBI funds that have given the highest returns in the last one year.
1. SBI Gold Fund
SBI Gold Fund is an open-ended scheme of SBI Mutual Fund, launched on January 1, 2013. The fund benchmarks domestic gold prices and has given a return of around 9.42% so far. The fund size is Rs 5,221 crore as of August 2025 and has an expense ratio of 0.10%. Since it invests in gold, it is placed in the high risk category.
Fund’s 1-year return – 51.67%
2. SBI Gold ETF
SBI Gold ETF is an open-ended scheme of SBI Mutual Fund, which was launched on May 18, 2009. This fund also benchmarks domestic gold prices and has given a return of about 11.94% since its launch. Its asset size as of August 2025 is Rs 9,506 crore and the expense ratio is 0.70%. Due to investment in gold, this ETF is also placed in the high risk category.
Fund’s 1 -year return: 51.36%
3. SBI Silver ETF
SBI Silver ETF is an open-ended scheme of SBI Mutual Fund, launched on July 3, 2024. This fund benchmarks domestic silver prices and has given a return of around 28.57% so far. Its asset size as of July 2025 is Rs 1,150 crore and expense ratio is 0.40%. Due to investment in silver, this ETF is placed in the very high risk category.
Fund’s 1-year return: 50.87%
(Data source: Value Research)
What are Gold ETFs and Silver ETFs?
ETF i.e. Exchange Traded Fund is an investment instrument that can be bought and sold like a stock in the stock market. Gold ETF actually tracks the price of gold. The investor does not need to keep physical gold, rather gold is invested in the form of units in the demat account. Similarly, a silver ETF tracks the price of silver and gives the investor exposure to silver.
Gold funds and silver ETFs are convenient for investors who prefer digital and market-linked investments rather than holding jewellery or physical bullion.
Caution for investors
Even though gold and silver have given great returns in the past one year, it is important to note that future returns do not always reflect past returns. Gold and silver are traditionally considered “safe haven assets”, and investors turn to them whenever uncertainty increases in the stock market or other asset classes. This is the reason why their prices have seen such a sharp rise in the last year.
So investors should keep a balanced share of gold and silver in their portfolio and should not take investment decisions by looking at past earnings only.