Among the most auspicious occasions for buying gold, Akshaya Tritiya — which falls on April 30 this year — is likely to see strong demand despite the ongoing bull run.
At the same time, its relatively less-talked-about cousin, silver, may also see buying traction.
“In 2024, both gold and silver delivered 34-35 percent returns; however, over the last four months, due to the Trump tariff talk, gold has outperformed, while silver has stayed where it was. We expect the returns to catch up with gold over the next 12-24 months. It could yield higher returns than gold,” says Navneet Damani, Head of Research, Commodities, Motilal Oswal Financial Services.
All set for a silver run?
While typically associated with gold, Akshaya Tritiya also witnesses brisk buying of silver and other precious metals.
“Akshaya Tritiya has always been a strong period for precious metals. While gold usually grabs the spotlight, silver also sees a clear uptick in demand especially for coins, bars, and practical gifting items. Its lower price point makes it attractive for bulk buying, and retailers often report a noticeable jump in silver sales during this time,” says Aksha Kamboj, VP, India Bullion & Jewellers Association (IBJA) and Executive Chairperson, Aspect Global Ventures.
Even if silver demand is muted due to global slowdown fears, it could pick up in the medium term. “Once global recession concerns fade, prices are likely to climb sharply. Today, around 58 percent of silver is used in industrial production, so its price is closely tied to economic growth,” she adds.
The bullish outlook on silver is also on account of demand outstripping supply. “In the last five years, silver has been in a deficit scenario, which will continue. It’s not like mining will be able to catch up going forward. The demand is high and no new production is going to come in,” says Damani.
Also read: Akshaya Tritiya 2025: Will gold continue to rally after giving over 30% gains since last year?
Gold versus silver
Compared to gold, which has been rising rapidly because of geopolitical factors, silver has been a relative underperformer. “Silver is gradually rising, though not at the pace at which gold is growing. With gold hovering around Rs 1 lakh per 10 grams people may or may not be comfortable making purchases. However, silver is an alternative to gold where you can garner some returns. We are seeing a lot of traction for silver coming in, vis-à-vis gold,” says Damani.
The outlook for both precious metals is bright this year, though their trajectories could differ. “While gold continues to be a safe haven amid economic uncertainties, silver is gaining momentum due to its industrial demand, particularly in sectors like renewable energy and electronics. This dual demand — investment and industrial — positions silver for significant growth in 2025,” says Kamboj.
Should you invest?
Damani believes silver could rise to Rs 1.1 lakh to 1.25 lakh per kg over the next 12-24 months and hence, retail investors can consider investing now.
Silver deserves a place in your portfolio, given the strong demand, to complement gold. “Long-term prospects for silver look positive due to rising industrial demand (e.g., solar, EVs) and limited supply growth. So we recommend allocating a portion – around 5 percent – of your long-term portfolio, as a diversification strategy,” says Abhishek Kumar, SEBI-registered investment adviser and Founder, Sahaj Money.
He recommends investing through silver ETFs, due to liquidity, low costs, and ease of transactions that they offer.
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