In recent months, gold prices have dazzled investors globally — and in India too — with a stunning rally. Meanwhile, silver has been playing catch-up, showing a comparatively muted rise. But that might be about to change — and faster than you think.
Many market analysts are now betting that silver will outpace gold in the months ahead. Two powerful forces are driving this sentiment:
Despite trailing gold, silver’s growing investment appeal is turning heads, especially in India’s booming ETF market. With silver looking increasingly undervalued, retail investors have a rare window of opportunity to ride the next big wave.
Since January, gold prices have skyrocketed 25.1% on the MCX spot market, while silver has only moved up 13.5%. However, experts believe silver could soon steal the spotlight, especially if gold’s rally hits a pause.
One major reason behind the bullish view on silver is the rising gold-to-silver ratio — a historic market signal. This ratio shows how many ounces of silver you can buy with one ounce of gold. Recently, it breached the 100 mark — a rare event seen only once before since the COVID-19 crash, when it had peaked at 126.
To put it in perspective:
A high gold-to-silver ratio typically doesn’t last long — and when it corrects, silver often rallies hard. With gold so much more expensive than silver, investors may increasingly see silver as the better bargain.
Silver isn’t just getting a boost from valuation metrics. Broader macroeconomic trends also favor it:
Silver isn’t just a precious metal — it’s an industrial powerhouse.
In 2024, 39% of global silver demand came from investors, jewellers, and silverware buyers. But that’s just part of the story. As economic activity picks up, industrial demand for silver — used in electronics, solar panels, and electric vehicles — is expected to surge.
India’s investment landscape is also tilting toward silver.
Holdings in silver ETFs jumped from 783 tonnes in 2024 to a record 1,200 tonnes in 2025. Plus, the number of fund houses offering silver ETFs has tripled, from just 4 in 2022 to 12 now. Retail investors have more options than ever before to tap into the silver boom.
Gold may have dazzled us in 2024, but 2025 could be silver’s year to shine. With historic ratios flashing bullish signals, industrial demand soaring, and easy investment options available, silver could be the stealth wealth creator you don’t want to miss.
Read more on: Akshaya Tritiya 2025: Date, Shubh Muhurat, Gold Investment
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 research and assessments to form an independent opinion about investment decisions. Investments in the securities market are subject to market risks, read all the related documents carefully before investing.
Published on: Apr 29, 2025, 11:20 AM IST
Team Angel One
We're Live on WhatsApp! Join our channel for market insights & updates