Strong Performance: Kotak Silver ETF has given such returns to investors in the last few years which are being talked about in every investor circle. This fund, launched in December 2022, almost tripled investors’ money within three years. The main reason for this is the continuously increasing silver prices and increasing demand for silver in the global market.
By November 2025, the scheme’s AUM has crossed a record AUM of ₹2,630 crore, reflecting both investor confidence and the fund’s performance.
37% CAGR return in three years
If you had invested ₹10,000 in Kotak Silver ETF at the time of its launch, it would have grown to ₹26,132 by November 30, 2025. According to Kotak Mutual Fund, this fund has given a CAGR return of more than 37% since inception.
It is an exchange-traded fund (ETF) whose returns are based entirely on the silver spot price (LBMA benchmark). This fund also invests in other instruments related to silver, which reduces the risk and improves the scope of returns.
Rising prices of silver increase attraction
This fund is managed by Jeetu Valecha Sonar and Abhishek Bisen. The fund has a low expense ratio of 0.45%, which makes it more attractive for investors. Strong demand for silver has consistently pushed prices higher in recent months, which is a direct benefit of this ETF.
However, analysts say that the silver market is naturally very volatile (high-risk zone), hence it may see sharp fluctuations in the future. In such a situation, investors should proceed only after taking advice from their financial advisor (expert guidance).
Strong performance from other silver ETFs
Not only Kotak, but silver ETFs of other big fund houses have also given excellent returns. The average annual return over three years was as follows:
Axis Silver ETF – 37.67%
DSP Silver ETF – 37.56%
Nippon India Silver ETF – 37.39%
ICICI Prudential Silver ETF – 37.32%
Aditya Birla Sun Life Silver ETF – 37.29%
According to experts, the decision to invest in a fund should not be made only on the basis of past performance. It is also important to understand the market condition, global demand and commodity cycle.
Investor Tip: Allocate a Small Portfolio to Bullion
Financial advisors have long advised investors to allocate a small portion of their portfolio to bullion, i.e. gold and silver (safe-haven assets).
If you have not started investing in silver yet, a gold ETF or silver ETF (Easy Investment Options) could be a good option.
By investing in a silver ETF, you can benefit from rising silver prices without having to physically buy or store it (no hassles of storage). ETF units can be easily bought and sold on the stock exchange.
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