Silver-backed exchange-traded products (ETPs) recorded net inflows of 95 million ounces in the first half of 2025, surpassing the total for all of last year. Global ETP holdings reached 1.13 billion ounces by June 30, just 7% below the February 2021 peak. The value of these holdings exceeded $40 billion in June for the first time, driven by a 25% increase in silver prices during the year.
Futures data shows net long positions on the CME up 163% from end-2024, with institutional investors maintaining strong exposure to silver as a store of value. Retail investment trends diverged by region: European demand is recovering but remains below 2020–2022 levels, while India posted a 7% year-over-year increase in retail silver purchases. In the US, retail investors have been net sellers, leading to a 30% drop in bar and coin sales for the year.
The Silver Institute notes that the market may see increased two-way activity in coming months, especially if silver prices surpass $40 per ounce. Some investors are expected to take profits, while others may enter the market anticipating further gains. Demand for newly minted coins and bars is likely to remain subdued.
Industrial demand and persistent supply deficits continue to support silver prices, with the metal’s dual role in monetary and industrial sectors contributing to ongoing volatility. The direction of retail investment, particularly in the US and Europe, will be a key factor in price movements as the year progresses.