Gold and silver exchange-traded funds (ETFs) witnessed a sharp surge in assets in 2025, with their combined assets under management (AUM) crossing the ₹2 trillion mark in December, as per AMFI data.
The rapid expansion was driven by unprecedented investor inflows alongside a strong rally in precious metal prices.
At the beginning of 2025, the combined AUM of gold and silver ETFs stood at around ₹57,000 crore. By September, assets had already crossed ₹1 trillion, before doubling again over the next four months.
December alone marked a historic month for inflows, with gold ETFs attracting an estimated ₹11,700 crore the highest monthly inflow recorded so far.
Silver ETFs also saw a sharp rise in investor interest, with monthly inflows more than doubling to about ₹4,700 crore in December from ₹2,154 crore in the previous month. For the full year, net inflows into gold ETFs reached ₹43,000 crore, while silver ETFs recorded inflows of ₹24,200 crore.
Net investments into gold ETFs during the second half of 2025 are expected to rank as the second-highest across all mutual fund categories, trailing only flexi-cap funds.
The strong asset growth coincided with an exceptional rally in precious metals. During calendar year 2025, domestic gold prices climbed 75%, while silver prices surged 168%.
The rally was underpinned by a mix of global and domestic factors, including persistent geopolitical tensions, expectations of interest-rate cuts by major central banks, and a weakening US dollar, all of which boosted gold’s safe-haven appeal.
Silver gained additional support from rising industrial demand linked to the solar and electric vehicle sectors, coupled with supply constraints.
Investor participation also expanded sharply, reflected in the surge in new ETF accounts. In the 1st 11 months of 2025, gold ETF folios grew 53%, while silver ETF accounts increased 4-fold, indicating broader retail adoption of precious metal-linked investment products.
Read More: How Mutual Fund Commissions Eat Away 25% of Investor Wealth Across 80% of Schemes in a Decade
The rapid expansion of gold and silver ETF assets highlights a decisive shift toward precious metals as core portfolio components rather than tactical hedges. With structural drivers such as geopolitical uncertainty, industrial demand and portfolio diversification still intact, ETFs are likely to remain a key channel for investors seeking stability and long-term value in 2026.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Mutual Funds Investments are subject to market risks, read all the related documents carefully before investing.
Published on: Jan 8, 2026, 11:45 AM IST
Team Angel One
We're Live on WhatsApp! Join our channel for market insights & updates
Get the link to download the App
EN