The product provides a cost-effective way to invest in silver without the need for physical storage or insurance.
The Groww Silver ETF tracks the domestic price of physical silver based on the daily spot fixing price from the London Bullion Market Association (LBMA).
The ETF invests in dematerialised silver units, offering an alternative to holding physical silver.
Key features
Low correlation with equity markets: Silver’s price movements show limited correlation with stock markets, which may offer diversification benefits.
Demand and supply dynamics: Silver demand exceeded supply in 2024, driven by industrial uses such as electronics, electric vehicles, and renewable energy, according to the Silver Institute.
Valuation: The gold-to-silver ratio stood at 91.64 as of April 10, 2025 (NSE, Bloomberg), indicating that silver may be relatively affordable compared to gold.
Liquidity: Investors can buy or sell ETF units on the stock exchange during market hours, allowing for flexible entry and exit.
Investment objective
The ETF aims to provide returns that reflect the performance of silver. It does not guarantee returns, as silver prices can fluctuate with market conditions.
Target investors
The Groww Silver ETF is intended for investors seeking long-term capital appreciation and exposure to silver through a simple, market-traded product.
New Fund Offer (NFO) details
- NFO Period: May 2 – May 16, 2025
- Minimum Investment: ₹500 and multiples of ₹1 thereafter
- Exit Load: Nil
First Published: May 2, 2025 2:14 PM IST