Diwali 2026 | Muhurat trading 2026 guide | Gold ETF vs Silver ETF: After the big leap in gold and silver prices, gold and silver ETFs are gaining attention among marginal investors, who can’t afford to pay a whopping upfront amount for physical gold and silver. In this investment instrument, an investor buys a unit of an ETF offered by fund houses and receives returns similar to those of physical gold and silver. However, there is also a catch. One needs to remain vigilant about trade volume and the premium available in gold and silver ETFs while zeroing in on one’s investment option.
According to experts, gold and silver ETFs are available for trade on the BSE and the NSE. An investor can buy them directly on the open market, paying for the units they buy, provided they have a demat account. An investor can choose the mutual funds route by opting for a gold ETF or a silver ETF fund of funds (FoF).
Gold, silver price targets during Samvat 2083
Speaking on the possible upsides in gold and silver prices, Anuj Gupta, a SEBI-registered market expert, said, “Gold rate today in India is around ₹1,42,500, and it is expected to touch ₹1,80,000 by the next Diwali. This means gold prices are expected to rally up to 26% during Samvat 2083.”
The SEBI-registered market expert said that silver rates today in India are around ₹1,85,000 per kg, and it is expected to rise up to ₹3,00,000 per kg by Diwali 2027. This means the precious white metal prices are expected to rise by up to 62% during Samvat 2083.
However, experts believe that predictions for gold and silver prices should not be the criteria for choosing either a gold or a silver ETF.
Gold ETF vs Silver ETF: Factors to decide
Comparing Gold ETF and Silver ETF, Pankaj Mathpal, CEO & MD at Optima Money Managers, said, “Gold has investment value, whereas silver has both investment and industrial value. Hence, it may become highly volatile in response to certain triggers, whereas gold has only investment value, and even central banks around the world buy gold to cope with financial emergencies. This applies to Gold and Silver ETF investors also. A smart investor invests in a gold ETF, whereas an investor with a high risk appetite invests in a silver ETF. So, much depends on the risk appetite. An investor with low risk appetite is advised to invest in gold ETFs this Diwali, while a high-risk investor may opt for the silver ETFs for higher returns.”
How to select a gold or silver ETF?
Unveiling the investment strategy while investing in gold or silver ETFs, Pankaj Mathpal said, “One should look at the premium at which a gold ETF is trading. If the premium is high, one should leave it, as it is expected to crash further if precious metals decline. The best way to compare premiums is to look at the gap between the category return and the plan’s return. If the plan’s return is lower, it is better suited for higher returns.”
Pankaj Mathpal of Optima Money Managers said that gold and silver ETFs offered by ICICI Prudential and Nippon India are highly popular and that one can buy them.
Disclaimer: This story is for educational and informational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified financial experts before making any investment decisions.
