Zerodha Fund House has launched the Zerodha Silver ETF, an open-ended exchange-traded fund tracking domestic silver prices. The fund provides investors with the chance to increase their exposure to silver as an asset class and is currently available for subscription.
NFO Details
The New Fund Offer which has opened on March 10, 2025, will be open for subscription up to March 18, 2025. Investors can subscribe with a minimum of Rs 1,000 and in multiples of Rs 1,000 thereafter. The fund will seek to provide returns based on the performance of physical silver in local markets subject to tracking errors. The Zerodha Silver ETF is managed by Kedarnath Mirajkar and Shyam Agarwal. It has no exit load, as stated in the scheme details.
According to Zerodha, the fund will allocate 95 to 100 per cent of its assets to silver and silver-related instruments, ensuring close tracking of silver prices. The remaining 0 to 5 per cent will be invested in debt, money market instruments, cash and cash equivalents to manage liquidity and operational requirements.
Vishal Jain, CEO of Zerodha Fund House, said that silver has the potential to be a part of both investment portfolios and modern industries. He pointed out that the Zerodha Silver ETF provides investors with a valuable instrument to diversify their portfolios while availing themselves of the unique characteristics of silver as an industrial and precious metal.
Who Should Invest?
According to Zerodha Fund House, this ETF is suitable for investors seeking capital appreciation over the long term and returns that align with silver’s performance, subject to tracking error. While investors should be aware that their principal will be at very high risk due to silver’s price volatility. It is ideal for those looking to diversify their portfolio with exposure to precious metals and are comfortable with market fluctuations.
