Silver is no longer just a metal sitting quietly in jewellery shops and industrial warehouses. In 2026, it has become one of the hottest investment themes driven by EV demand, solar manufacturing, electronics, and rising global commodity momentum. Investors looking for exposure to silver without storing physical metal are increasingly turning toward Silver ETF Fund of Funds (FOFs).
A recent comparison report generated by BullWiser.com compared two popular silver funds: Aditya Birla Sun Life Silver ETF FOF-Direct Growth and ICICI Prudential Silver ETF FOF. Both funds received an impressive BullWiser Score of 9.1/10, placing them in the “High Quality” category.
When it comes to performance, the difference between the two funds is extremely small. The Aditya Birla Sun Life Silver ETF FOF delivered a massive 183.3% return over the last one year, while the ICICI Prudential Silver ETF FOF generated 182.8% during the same period. Over a three-year period, ICICI Prudential slightly edged ahead with a 54.8% annualized return compared to 54.6% for Aditya Birla. On a five-year basis, Aditya Birla posted 34.1% annualized returns, marginally higher than ICICI Prudential’s 33.9%. Since inception, both funds have delivered over 40% annualized returns, highlighting the strong momentum in silver as an asset class.
Risk metrics also show that both funds behave very similarly. The Sharpe Ratio, which measures risk-adjusted return, stood at 1.02 for Aditya Birla and 1.04 for ICICI Prudential, suggesting both funds compensated investors reasonably well for the volatility taken. However, investors should not ignore the downside risk. During their worst phases, both funds witnessed drawdowns of nearly 45%, meaning sharp corrections are possible in commodity-linked investments. In terms of consistency, Aditya Birla scored slightly better with 60.8% consistency compared to 58.8% for ICICI Prudential.
On the cost front, there is virtually no difference between the two. Both funds charge an expense ratio of 0.50%, which works out to approximately ₹500 annually for every ₹1 lakh invested. Since both are direct plans, investors benefit from lower costs without distributor commissions eating into long-term returns.
The BullWiser report described both schemes as “Strong funds with good returns and low costs,” making either option suitable for investors seeking silver exposure through mutual funds. While the performance gap between the two is almost negligible, investors may still compare factors like AMC reputation, liquidity, portfolio structure, and tracking efficiency before choosing one.
Silver investing, however, is not for weak hands. Commodity cycles can behave like a storm powered by industrial demand, inflation fears, and global economic shifts. The same momentum that creates extraordinary gains can also trigger brutal corrections. Investors should therefore approach silver funds with proper allocation discipline and a long-term perspective rather than chasing short-term rallies.