Gold Left Behind as Silver Hikes 132% YTD: The ETF Playbook for 2026

2025 has been a historic year for precious metals, with both gold and silver shattering previous records. However, the "white metal" has comfortably stolen the spotlight, surging 132% so far this year, trading near $69 per ounce as of Dec 22, 2025 (at the time of writing this article). 

While gold’s 68% gain is impressive, silver’s triple-digit performance comfortably surpassed gold’s return this year. 

For investors seeking portfolio diversification from high-growth tech stocks, precious metals offer a compelling hedge against market volatility, persistent inflation and geopolitical tension. 

Considering silver’s outperformance, gaining silver exposure presents a unique dual proposition for investors, as both a monetary safe-haven asset and a critical industrial commodity, justifying the intense spotlight it now commands.

With many investors still worried about the overvaluation risk of the artificial intelligence (AI) industry and thus hunting for diversification away from richly valued growth stocks, gaining exposure to silver via exchange-traded funds (ETFs) should offer a compelling strategy to capture the white metal’s momentum while adding a real asset hedge to their portfolios. 

But before suggesting a few high-performing silver ETFs for your watchlist, let us delve a little bit deeper into what led to silver’s rally this year and does it have what it takes to continue its momentum in the coming year as well. This will help investors make an informed decision.

What Drove Silver’s Record Run in 2025?

This year’s explosive rally in silver was driven not by a single factor, but by a powerful convergence of fundamental and macroeconomic forces.

•    A Severe and Persistent Supply Squeeze: The physical silver market experienced a tightened supply this year. 2025 marks the fifth consecutive year of silver supply deficits.  This supply constraint naturally pushed the price.  

•    Green Industrial Boom: Over 60% of silver demand now comes from industrial applications, and this segment is experiencing structural growth. Silver is indispensable for photovoltaic (solar) cells and Electric Vehicles (EVs), which use 67-79% more silver than traditional internal combustion engines.

•    Investment and Macroeconomic Tailwinds: After years of outflow, investment capital flooded back into silver through ETFs and other vehicles in 2025, amplifying the price move. Evidently, multiple silver ETFs and foil funds achieved returns of about 100% or more this year, with notable ETF inflows being frequently mentioned as a key driver of the rally (as per a Forbes report). Concurrently, interest rate cuts from the Federal Reserve weakened the U.S. dollar, providing a classic macroeconomic lift for dollar-denominated precious metals.

What Lies Ahead for Silver in 2026?

Analysts remain broadly constructive on silver’s trajectory into the new year, while cautioning that the pace of gains may moderate following 2025’s meteoric rise. The structural supply–demand deficit is expected to persist, providing a solid foundation for prices. From an investment perspective, major institutions continue to see upside potential. For example, BNP Paribas has outlined a scenario in which silver could reach $100 per ounce by late 2026.

It is noteworthy that silver's 2025 performance has already surpassed the 2026 price targets of several major banks issued earlier, including J.P. Morgan's forecast of $58. While this suggests the rally is ahead of schedule, it also underscores the strength of the driving fundamentals. 
Market sentiment also reflects this optimism, with more than 50% of retail traders predicting that silver will again be the top-performing metal in 2026, according to a Kitco News report, published this month, based on a survey conducted on 352 retail investors. 

In short, silver's story has evolved from a mere precious metal play to a direct bet on global electrification and technological advancement.

Silver ETFs at Play

Considering the aforementioned discussion, for investors looking to capitalize on the continued momentum of silver, as we approach 2026, gaining exposure through the following silver ETFs seems a practical and efficient strategy.

abrdn Physical Silver Shares ETF SIVR

This fund tracks the performance of the price of silver bullion, with assets under management (AUM) worth $5.15 billion. 

SIVR had a market price of $62.25 as of Dec. 18, 2025 and has escalated 132.1% year to date. The fund charges 30 basis points (bps) as fees and traded at a good volume of 2.74 million shares in the last trading session.

iShares Silver Trust SLV

This is the largest silver ETF and tracks the day-to-day movement of the price of silver bullion, with net assets worth $33.97 billion. 

SLV had a market price of $60.93 as of Dec. 19, 2025, and has rallied 131.4% year to date. The fund charges 50 bps as fees and traded at a good volume of 42.56 million shares in the last trading session.

Global X Silver Miners ETF SIL

This fund, with net assets worth $4.82 billion, provides exposure to 39 companies involved in the mining of silver.

SIL had a market price of $84.73 as of Dec. 19, 2025, and has surged 167.2% year to date. The fund charges 65 bps as fees and traded at a good volume of 1.91 million shares in the last trading session. 

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This article originally published on Zacks Investment Research (zacks.com).

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