On February 4, 2026, silver prices in India experienced a sharp “dead cat bounce,” rebounding by 6% to approximately ₹2,84,000 per kg on the MCX. This follows one of the most brutal corrections in the metal’s history, where prices crashed over 40% from a January peak of ₹4,10,000 per kg.
The volatility has pushed investors toward Silver ETFs as a safer, more liquid alternative to physical bars and coins.
Top Silver ETFs in India (2026)
The Indian ETF market has matured significantly, with Nippon India crossing a milestone of ₹47,000 crore in silver AUM alone this year. Below are the key players:
| ETF Name | NSE Ticker | Approx. Expense Ratio | AUM (₹ Cr) |
| Nippon India Silver ETF | SILVERBEES | 0.56% | 47,392 |
| ICICI Prudential Silver ETF | SILVERIETF | 0.40% | 10,733 |
| HDFC Silver ETF | HDFCSILVER | 0.45% | 5,650 |
| SBI Silver ETF | SBISILVER | 0.40% | 4,080 |
| Mirae Asset Silver ETF | SILVERAG | 0.34% (Lowest) | 1,263 |
| Aditya Birla Sun Life Silver ETF | SILVER | 0.35% | 2,949 |
How to Choose the Right Silver ETF
Experts emphasize that choosing a Silver ETF is less about “returns” (since they all track the same metal) and more about efficiency.
1. Liquidity (Daily Volume)
A high AUM and high daily trading volume ensure you can enter and exit positions without affecting the price. Nippon India (SILVERBEES) currently leads in liquidity.
2. Expense Ratio
This is the annual fee the fund charges. Over a 5- to 10-year period, a difference of 0.20% can significantly impact your wealth. Mirae Asset and Axis currently offer some of the most competitive rates.
3. Tracking Error
This measures how closely the ETF’s NAV follows the actual MCX/LBMA silver price. A lower tracking error indicates better management. Check the fund’s monthly factsheet for this data.
Key Things Investors Must Know
- High Volatility: Unlike gold, silver is an industrial metal (used in solar panels, EVs, and 5G). This makes it twice as volatile as gold. Be prepared for 15–20% swings in a single week.
- Taxation Rules: As of the 2024 Budget, Silver ETFs are taxed based on the holding period:
- Short-Term ( < 12 months): Taxed at your regular income tax slab.
- Long-Term ( > 12 months): Taxed at 12.5% (without indexation).
- No Physical Delivery: You cannot exchange ETF units for physical silver bars. For that, look at “Digital Silver” or physical bullion.
- Margin Hike Impact: The recent crash was partly fueled by global exchanges (like CME) raising margin requirements, forcing traders to liquidate positions.
Investor Tip: For the 2026 market, many analysts recommend SIPs (Systematic Investment Plans) into Silver ETFs rather than lump sums to average out the extreme price shocks.