Primary aim of a Silver ETFs is to track approximate spot price of silvers in an open market.

Silver ETFs is helds in a taxable account subject to higher long term gains in capital rates on any kind of holding of more than a year.

DEFINITION of Silver ETF:

An exchange traded fund is that which invest primarily on raw silver asset. As a grantor trusts, where each shares of ETF represent specific rights to a exact amount of a silver which is measured in ounces. One ounce is equal to 28.5 grams.Exchange Traded Funds (ETFs) is a relatively a new phenomenon and gaining a popularity rapidly. Silver ETF came out after angold and oil ETFs. ETFs charges you for expenses done by them. ETF takes a money for to run an exchange traded fund, an d that money is recovered from the investors. Expense Ratio is called in which a all ETFs charges a fees in an percentage. The cheaper the fund will be lower the expense ratio will be. One should always try to compares a expense ratio from a different ETFs which will indicate how much money is to be spent in fees. Mostly all the mutual funds do this, so in this respects we can say ETFs are like mutual funds.

SILVER ETFs:
Primary aim of a Silver ETFs is to track approximate spot price of silvers in an open market. Silver ETFs is helds in a taxable account subject to higher long term gains in capital rates on any kind of holding of more than a year. Gains are accessed accessed on a silver is as collectible and it is a subject to 28% long term gains on a capital rate. ETF market is coincided withbull markets in the commodities which includes gold and silver. Silver ETFs which tracks a physical commodity and as well as stocks of a silver which have gained a popularity as all the investor wants the cost effective ways so that a silver can be owned. Silver ETF is tends to be more practical for most peoples than buying, storing and insuring a physical silvers especially when one considers the dealers spread. If you expect the financial Armageddon and then you are storing up a silvers then an ETF cannot be your answer, however if you are looking to trades the metal good Silver ETF for a great investment vehicle.

INDIAN SILVER ETF:

India first Silver ETF(Exchange Traded Fund) is entered Benchmark Mutual Fund. Benchmark which is not only a specialists in ETFs, but it also been a pioneer behind the getting Indians to looks at a exchange trade fund which is as a mode of investment. Benchmark Asset Management Company (BAMC) is the part of a Goldman Sachs group. Benchmark Asset Management Company is the first asset management company in India which has a primary focus on an indexing and it use a quantitative technique in an for creating a products which is innovative. Benchmark is running and co-promoted by some professional who is having a long experience in the Indian and International Financial Market. Silver ETFs provides a limited control.

PROS AND CONS OF SILVER ETF:

Silver ETF gives the option to investors to track the prices of silver in their portfolio without having the costs and inconveniences of not holding the actual silver cost. Silver is been a neglected orphan in the precious markets of metals.

LIST OF SILVER ETFs IN INDIA:

After the oil and gold ETFs,next in the line is a silver ETFs. The list of silver ETFs in which you can invest in:

Silver ETFs which Hold Physical Silver

1. iShare Silver Trust ETFs (SLV): iShare Silver ETF that holds a physical silver and also the price of ETF which reflect silver holdings at any specified time.

Silver ETFs which own Future Contracts:

1. Powershares DB silver Found(DBS): It is an ETF which tracks the prices of a silver by investments in a rule based index which is made up of future contracts on the silver. 2. E-Tracs CMCI Silver Total Return(USV): It is an ETN and also tracks a UBS Bloomberg CMCI silver total return index. It tracks the prices of a silver.

Double Silver ETFs

1. Proshares Ultra Silver ETF(AGQ): It returns the daily which are 200% of daily prices of silver. Daily returns mean the volatility increased and it also means that over the long run, funds has a very good chance of not running twice the prices of silver.

Short Silver ETFs:

1. Proshares Ultra Silver ETF(AGQ): It also seeks a daily returns.

India Funds Plan Silver ETFs

MUMBAI After a brisk pick-up in gold exchange-traded funds, or ETFs, several Indian mutual fund houses are planning to launch silver ETFs as soon as regulatory authorities give them clearance. Indians typically buy gold and silver jewelry with their savings, but with prices rising to new highs almost every month, demand for jewelry is fast being replaced by growing interest in investment products such as gold ETFs. "Indians prefer to hold gold in a physical state, so the penetration of gold ETFs is still not that high," said Prithviraj Kothari, president of the Bombay Bullion Association. "But silver is more of an industrial metal, and the inclination to hold it physically is less. So the scope in silver ETFs is higher," he said. Spot silver in Mumbai, the largest bullion market in the country, hit an all-time high of 54,970 rupees ($1,221) per kilogram Monday, up 21% since the beginning of 2011. As many as 10 mutual funds have launched gold ETFs in India, the world's largest consumer of the precious metal, since permission was granted in 2007. According to the latest data from the Association of Mutual Funds in India, the assets of gold ETFs in India had more than doubled in January from a year earlier to 35.81 billion rupees. The Securities and Exchange Board of India (SEBI), the country's capital markets regulator, also regulates gold ETFs, which are currently traded on the National Stock Exchange. Regulators are trying to decide whether silver ETFs should be overseen by SEBI or the commodity markets regulator, the Forward Markets Commission (FMC FMC +0.14% ).

B.C. Khatua, chairman of the FMC, said silver ETFs shouldn't be launched on the stock exchange because they are a commodity-based product and not a stock. FMC will meet SEBI soon, once the new chairman settles down, he added. Last month, U.K. Sinha took over as the new chairman of SEBI, succeeding C.B. Bhave. Benchmark Mutual Fund, which has the largest assets under gold ETFs in India, has already submitted an application with SEBI to launch silver ETFs. "We will launch the product as soon as the issue of regulation over silver ETFs is resolved as we are ready with our product," said Rajan Mehta, executive director of the fund house. Another mutual fund has also applied to SEBI to start silver ETFs, said a SEBI executive, who didn't want to be identified. He didn't name the fund house. The Bombay Bullion Association is also looking at launching both silver and gold ETFs, although it will first have to launch a mutual fund before starting the ETFs under current rules, said Mr. Kothari. Mr. Kothari added that physical holdings in silver ETFs globally are almost 14,000 metric tons, highlighting the scope for silver ETFs in India. Once regulatory clearance is given, one or two more funds are also likely to launch silver ETFs, industry officials said.

Silver ETF Impact 3

Silver is no doubt tiny on the grand commodities scale. But its attractiveness, spearheaded by a 1000%+ bull-to-date gain to its latest high, has spawned a wide range of products for investors to partake in. And one of the most unique and powerful is the SLV iShares Silver Trust ETF. This ETFs objective is quite simple, to mirror the price of silver (minus a small management fee of course). But while simple in its objective, two unique traits have allowed SLV to take the silver market by storm. First is SLV offers a bridge for stockmarket capital to track the price movements of a high-flying commodity, which historically had only been an arena for the futures guys. And second is it uses this capital to buy the physical metal. SLV is asset-backed by silver bullion. So not only is a share of SLV equivalent in value to an ounce of silver, it is backed by a physical ounce of silver that is sitting in a big vault somewhere. The mechanics of this ETF are of course a little more involved given its asset-backed model. As opposed to other commodities ETFs/ETNs that simply track a price via rolling futures contracts, SLV needs to manage a physical inventory. And managing a

physical inventory to balance day-to-day demand/supply differentials, while tracking a price, is tedious. In order to track the price of its underlying asset, SLVs demand/supply needs to be equalized on a daily basis. And in order to counteract differential buying and selling pressure, SLV actively buys or sells bullion. This daily equalization is of course successful per SLVs rules, otherwise this ETF would decouple from the price of silver. On the buy side, by nature this ETF faces situations when there are more buyers than sellers. When this happens for regular stocks, it translates into a price that keeps rising until a balance is found. And in SLVs case this would be fine if its rise paced silvers. Perfectly pacing a commoditys price is impossible in a stock-trading environment though. And quite often SLV is in the situation where differential buying pressure would quickly lead to an upside decoupling from silver if it was let be. SLV thus needs to counteract this upside decoupling by issuing new shares (in 50kshare blocks), and then using the proceeds of these shares to buy silver bullion. The new shares serve to effectively absorb the excess demand. And at the end of the day this keeps SLV from rising at a faster pace than silver. On the sell side SLV can obviously see more sellers than buyers on any given day. But if differential selling pressure is not controlled, there would be a risk of decoupling from silver to the downside. In order to prevent this SLV has to buy back shares (again in blocks of 50k). And in order to raise the cash to buy back these shares, it needs to sell an equivalent amount of silver bullion. This process effectively absorbs an excess supply of SLV shares. And provocatively this ETFs market activity can have a material impact on silversfundamentals. Since SLVs tracking mission shunts stock-market capital directly into (and out of) the physical metal, it affects the real-time supply and demand of the physical market, and thus silvers price. And since this ETF is very transparent with its daily activity, a simple chart can show us just how relevant SLV can be to the silver market.

On the left axis is SLVs net asset value. This value (in billions of dollars) is calculated by simply multiplying SLVs daily holdings by the daily price of silver. And if SLV is indeed successful in its mission of tracking the price of silver, this red line should be a mirror image of what youd see on a silver chart. Slaved to the right axis, in blue, are SLVs holdings (in millions of ounces). To get a sharper picture of the most recent years, this chart only goes back to 2008. But it wasnt too long before this, in April 2006, when this ETF was born. And folks may recall its mixed reception at the time. While the majority of investors and silver bulls were excited for SLVs launch, there was opposition from industrial consumers. Though their fears were righteous for the most part (supply coming off the market and thus driving up prices), there was no stopping investors craving for this exciting trading vehicle. And the immense interest in this ETF was apparent right off the bat. SLVs holdings rose five-fold (to 100m ounces) within 4 months of its launch. And they even rose during a long silver consolidation that lasted well into 2007. From the beginning of this chart you can then see SLVs differential buying pressure continuing, and not really letting up until several years later. This huge growth period to SLVs 2011 peak was really quite spectacular. And perhaps the most spectacular part was a growth in the holdings amidst 2008s infamous stock panic. This growth showed remarkable resiliency for this metal during a time when traders wanted nothing to do with anything that wasnt cash. Coming out of the panic and into the recovery period, SLVs holdings surged. And in two years from the beginning of 2008, SLVs silver booty doubled to 300m

ounces.300m ounces is a lot of silver! How much? The average larger-scale silver mine produces about a hundredth of this amount, over the course of a year. In fact, 300m ounces is way more than the combined production of all the primary silver mines in the world over the course of a year. SLVs impact on silvers overall supply chain is actually quite substantial. In 2011 for example, the total silver supply was around 1.0b ounces from all sources (the highest ever). SLVs hoard represents 30%+ of an entire years supply. And it ends up being about 5% of the worlds silver supply over the last 6.5 years (since SLVs inception). I really doubt SLVs custodians could have imagined that its holdings would climb this high, this fast. And because of this, there is no doubt that SLV has made a material impact on the silver markets supply and demand fundamentals. I really dont believe silver prices would be where they are today if SLV hadnt taken so much of this metal off the market. This ETF can however be a double-edged sword. Whereas SLVs shunting of stockmarket capital into silver no doubt gooses the silver price, shunting stock-market capital out of silver can certainly have a negative effect on the price. And this is something we witnessed in the action that followed SLVs 366m-ounce peak in April 2011. This peak of course corresponded with silvers wild parabolic ascent that climaxed at $48+ just days after SLVs top. And SLVs differential selling pressure following this top led to an inventory draw of a whopping 61m ounces over a period of only about 2 months. Silver was down a gut-wrenching 24% over this exact same period of time, and I have no doubt that SLVs bullion purge added fuel to the selling fire. Interestingly ever since that big draw that took SLV back down towards 300m ounces in June 2011, weve seen a much different ETF. SLVs holdings have actually meandered within a relatively tight horizontal consolidation band for the better part of 1.5 years now, with the centerline average at about 313m ounces. While SLV has held strong over a spell where silver has trended down a bit, this lack of growth points to a muted interest in silver from stock investors. Ultimately I suspect that SLVs flat-grinding consolidation is merely a holding pattern that will soon yield to a continuation of growth. For most stock investors, both retail and institutional, this ETF is the only way theyll ever own silver. And I fully expect silvers investment demand to continue to soar as more and more folks add this valuable component to their portfolios. One thing that will offer confidence to investors is SLVs valuation, which as an assetbacked ETF it is pegged to the net-asset value of its silver bullion holdings. SLV has made a lot of progress since it was born to the markets as a sub-$300m concept. Its valuation had increased 10-fold by early 2008, and it has since grown to become one of the worlds premier asset-backed ETFs.

Of particular interest on the valuation front was SLVs huge growth spurt from September 2010 to April 2011. Over this stretch SLV saw a 70m-ounce bullion build coupled with a silver price rise of about 150%. And this led to SLVs net-asset value soaring by a staggering 233% before peaking with silver. While SLVs valuation has since come down, its been relatively stable in the $10b range over the last year or so. And this $10b valuation takes SLV well out of the small-cap realm to qualify it for investment capital that only targets mid-cap and higher. SLV has become the wide-reaching vehicle that the silver sector desperately needed. And speaking of vehicle, SLVs incredible growth has made it one of the largest silver-related stocks out there. Of all the primary silver vehicles, only elite streaming company Silver Wheaton and global #1 silver miner Fresnillo PLC have larger market capitalizations. The vast majority of the worlds biggest and best silver-mining stocks actually have much lower valuations than SLV. And interestingly Im sure this fact irks a fringe group of folks who initially opposed SLV due to concerns that it would divert capital away from the mining stocks. In actuality most silver bulls completely disagree with this minority opposition. While SLV may indeed have drawn some capital away from the mining stocks, it probably isnt much. In reality, SLV isnt in competition with these stocks. They arecompletely different in what they offer investors. SLV and mining stocks are of course interrelated in that the miners wont thrive without a strong silver price. But in isolation SLV is a direct play on the price of silver, whereas the mining stocks are leveraged plays on the profits of the miners. SLV and mining stocks also sport vastly different risk profiles. SLV is inherently risky being pegged to a small-market volatile commodity. But the mining stocks carry silvers innate risk and company-level risk. When you add operational, geological, geopolitical, and other risks that mining companies bear, youll find that mining stocks carry much higher risk. I really believe that the majority of investors who own SLV would not be invested in this sector at all if this ETF didnt exist. Its not a matter of SLVs shareholders choosing this ETF over mining stocks. Its SLV, or nothing silver-related. Besides, its a different class of traders who choose mining stocks. Those of us who traffic in the mining-stock realm have a greater appetite for risk, of course with the hopes that there will be much greater rewards. These stocks offer huge positive leverage to silver, which over the course of silvers bull has led to legendary gains. Even in silvers latest upleg, the mining stocks easily outpaced SLV!

If anything SLV has made things better for the miners. Theres no denying SLVs big role in rising silver prices. And these higher prices allow the miners to generate higher margins. SLV is a win-win for miners and investors! And not only do I not believe that SLV is cannibalizing mining-stock capital, I dont believe it cannibalizes retail physical investment either. Prudent investors realize that SLV should never be used as a substitute for owning the metal in ones physical possession (which at Zeal weve long recommended as a foundational component of ones portfolio). SLV is a neat vehicle that has added an entirely new component to silver investment and speculation. At Zeal weve been huge silver proponents since this bulls beginnings. And we certainly endorse SLV to risk-averse and new-to-silver investors, as well as traders playing the options markets. But when silver prices are going up, we definitely prefer the huge potential offered by the mining stocks. In our acclaimed weekly and monthly newsletters, weve been loading up on quality silver-mining stocks in anticipation of what we expect to be a strong silver upleg in the coming months. To find out which stocks were recommending, in addition to our famous contrarian market analysis, subscribe today! And if youre a stock-hound who would be well served getting deeper analysis on individual mining stocks, we offer in-depth research reports that profile our favorite stocks in high-potential sectors. It so happens that our latest effort is a fascinating 29-page report that profiles our favorite 12 silver stocks. Buy your report today! The bottom line is SLV has grown to become a force in the silver world. This unique ETF offers stock investors an unprecedented opportunity to trade, and effectively own, one of the most exciting commodities out there. And its popularity has made SLV a vast storehouse of wealth that has had a major impact on pricing. Though SLV hasnt actually taken much silver off the market over the last year and a half or so, there is no denying its impact since inception. And when silver starts to rock once again, SLV ought to see a healthy flow of stock-market capital that will boost its holdings while accelerating silvers momentum. SLV is a great option for investors, and it offers a bridge to the more dynamic mining stocks.

Scott Wright November 2, 2012

Silver ETF Investment In India Alternatives To Silver ETF Investment In India

Silver ETF investment in India is a challenge because as of 2012 there are no Exchange Traded Funds (ETFs) that trade on Indian stock exchanges that invest in silver. To make a silver ETF investment in India, an investor has to consider opening a brokerage account in India that allows one to invest in foreign silver ETFs or opening a brokerage account in a foreign country outside of India that provides access to silver ETFs. Since direct silver ETF investment in India is not possible via Indian stock exchanges, individual investors in India that do not have the resources to open domestic brokerage accounts that can trade foreign ETFs or foreign brokerage accounts in other countries may not be able to make silver ETF investments. Investors in this predicament that wish to invest in silver should consider alternative ways of investing in silver in India. Individual investors in India that are shut out of the silver ETF market can invest in silver in India by buying physical silver or silver jewelry, buying units of E-Silver that represent 100 grams of silver, or buying silver futures via Indian futures markets. For investors that can make a silver ETF investment in India via foreign silver ETFs, a prominent silver ETF that trade on stocks exchanges in the United States is the iShares Silver Trust (SLV), which holds physical silver bullion in warehouses and is a direct investment in physical silver. SLV is the preferred way to invest in a physical silver bullion ETF without exposing oneself to the risks associated with silver ETFs that derive their value from silver futures contracts. For more aggressive silver investors in India that can make a silver ETF investment in India via foreign silver ETFs, a two times leverage silver ETF, known as the ProShares Ultra Silver (AGQ), provides 200% exposure to silver commodity futures. AGQ invests in a variety of silver financial instruments from swap agreements to option contracts in its effort to achieve a 200% price move performance in relation to the market price of silver that is priced in United States dollars for delivery in London, England.

Risks Associated With Silver ETF Investment In India

Buying physical silver or investing in silver via other domestic means in India, rather than making an investment in a foreign silver ETF, may make more sense because buying overseas ETFs that are denominated in foreign currencies presents an investment risk. This is due to the risk of currency devaluation, which could impact the performance of a foreign silver ETF investment. The Indian rupee has lost value in recent years versus the United States dollar. If this devaluation trend continues, it could severely impact returns associated with silver ETF investment in India via foreign currency denominated silver ETFs.

Silver ETF investments available through reputable ETP service

Posted by freepronline on July 13th, 2013

FOR IMMEDIATE RELEASE England 28/5/13 The service Boost enables investors to raise capital through fluctuating silver prices.(Free-Pr-Online.com) The ETP service Boost is one of the leading players in the silver ETF (exchange traded funds) market. The service is completely independent of outside influences such as investment banks and swap providers, meaning that anyone who invests with Boost can benefit from an impartial and unbiased level of service. Boosts founders have over 20 years worth of experience when it comes to exchange-traded product market, marking them out as experts in their field. Boost is a transparent service that publishes details of all information such as fees and collateral holdings on its website every day. ETFs have made it easier for a wider range of people to invest. Gold and silver ETFs emerged on the market in the early 2000s. Investing in silver continues to be an extremely popular choice for anyone hoping to raise capital. There are many options available to those wishing to invest in silver, so it can take time to find out which ETF is the most beneficial.

Great Investments There For the Taking Those wishing to invest in silver ETFs are typically advised to track the prices of silver for a week or so before going ahead with an investment. Its obviously a good idea to make a move whilst the price of silver is low, as this means that investors stand to make more of a profit on it later. Its also wise to keep track of the progress of several ETFs at the same time, to see how they are performing in comparison to each other. Many people often decide to invest in more than ETF at a time. Whether a new investor wishes to invest in small or large amounts of silver can depend on several factors, such as the state of their finances and how experienced they are in terms of investing. Many investors have raised outstanding levels of capital with ETFs. The silver can be bought or sold at any point during trading hours. ETFS are part of the ETP Exchange Traded Product market which allows investors to benefit from exposure to equities, currencies and commodities such as silver. Keen investors are encouraged to get in touch with Boost at the earliest opportunity. Contact: 4th Floor, 33 Sun St, London, UK Zip: EC2M 2PY Tel: +44 (0) 20 3515 0050 Fax: +44 (0) 20 3515 0051 Email: info@boostetp.com Website: http://www.boostetp.com/

How to Invest with a Silver ETF

For most commodities investors, gold is the precious metal of choice. Gold prices have enjoyed a relatively steady rise in value over the last few years. Even after the sudden drop in prices which occurred on April 14th, the price of gold still exceeds $1,300 per ounce. If youre not convinced that gold prices are going to continue rising at a rate that makes them worth investing in, why not try the other major precious metal silver. Silver is in high demand in the industrial sector and it has always been a traditional store of value, albeit one not as glamorous as gold. Some people invest in silver by purchasing bullions, but there are ways to invest without the hassle of trading a physical item. The silver ETF (Exchange Traded Fund) is one of the easiest ways to do this. As of April 2013, the price of Silver has still not recovered to its two year high, which means that there are some good investment opportunities out there for people who have money to commit to this commodity. Physical vs Futures There are two main kinds of ETF. Physical ETFs allow you to invest in funds which directly hold silver bullion. In contrast, futures funds involve investing in derivatives which track the price of silver. Most of the popular silver ETF options are short or leveraged options which provide daily leveraged returns. If you choose to hold one of these products for more than one day, then your returns will be compounded. This means that returns you see may differ from what you expect. If you have the funds and plan to hold an ETF

for a long time, its a good idea to look for a long ETF, rather than buying a short term, leveraged product. A Warning about Leverage Leverage allows you to purchase more silver (or other commodities and investment products) than the money you are investing with would allow you to purchase outright. A leverage of 40:1 means that you are holding 40 times the value of your investment. If your investment increases in value, you will see 40 times the return; however, any losses you make will also be amplified.

Investing on leverage increases the risk you face and it is something that is not recommended for novice traders. If you choose to use leverage you should take care to always hold enough in reserve to cover any losses you may face. Silver is a particularly volatile commodity and prices are constantly fluctuating. This means that a skilled and active investor could stand to make a lot of money, however the risk involved in this kind of investment is high. If you choose to invest in silver ETFs, be sure to seek professional advice before committing a large quantity of money. Jared Leveson is a frequent commodities trader and finance blogger. His favourite investment is the silver ETF, which he believes offers good long term value. Tracking the global markets is both a source of income and a passionate hobby for Jared.