 "New NFO! 360 ONE Asset launches 360 ONE Silver ETF; should you invest?")
New NFO, Silver ETF: To help investors reap the benefit of rising Silver prices, 360 ONE Asset Management has launched an open-ended exchange traded fund (ETF) for subscription today, allowing investors to invest in silver. Called 360 ONE Silver ETF, the ETF tracks and replicates domestic prices of Silver. The Silver-centric New Fund Offer (NFO) will remain open from today, March 10, 2025, to March 20, 2025. The scheme will reopen for continuous sale and repurchase from March 28, 2025.
The aim of 360 ONE Silver ETF is to provide investment solutions to investors, offering a "convenient, liquid, and cost-effective way" to add Silver to their portfolio, a metal known for its industrial demand and as an investment hedge against inflation.
Notably, Silver prices have given returns of over 12 per cent so far in calendar year 2025. It had surged around 21 per cent in CY2024.
The minimum application amount for 360 ONE Silver ETF is Rs 1,000 (and in multiples of Re 1 thereafter.) The NFO is priced at Rs 10 per unit.
The benchmark for the fund's performance will be the domestic silver prices. Moreover, the ETF will have zero exit load, providing flexibility to investors.
The 360 ONE Silver ETF will allocate at least 95 per cent of its total assets to silver or silver-related instruments, ensuring close alignment with domestic silver price movements. Up to 5 per cent, however, may be invested in debt or money market securities to enhance liquidity and optimise fund management.
Rahul Khetawat will be the fund manager for the scheme.
360 ONE Silver ETF: Who can invest? Eligibility criteria
The 360 ONE Silver ETF is suitable for investors seeking long-term wealth creation and income generation in alignment with silver price movements. While the fund aims to mirror the performance of physical silver, investors should consider tracking errors and market fluctuations when making investment decisions.
Silver ETF: Should you invest?
Typically, investors invest in Silver, seeking the benefit of diversification to an alternative asset class. Investing in precious metals, such as Silver, enhances portfolio diversification and reduces overall risk.
When investing via an ETF, investors enjoy easy liquidity for the metal, allowing them to seamlessly buy and sell units with ease during market hours.
Silver ETFs also come with no storage, security, or insurance costs, making it a more economical option than holding silver metal in its physical form. That apart, ETF prices are directly linked to real-time silver prices, ensuring fair valuation and preventing price manipulation.