Price correction in Gold in March 2026 can broadly be attributed to rising yields and stronger USD as the oil price spike led to concerns around global central bank’s reducing their pace of tightening. Similar to other asset classes, the short -term outlook for gold depends on how the conflict unfolds. The speed and degree with which oil supplies and
From tradition to portfolio allocation GOLD & SILVER in investments!
Last Updated On: 5 May 2026
|Created On: 4 May 2026
5 min read
HDFC Mutual Fund: SEBI Registration Number: MF/044/00/6
Gold and silver have long been associated with prosperity, wealth preservation, and new beginnings. Traditionally viewed as timeless stores of value these precious metals continue to hold relevance beyond cultural significance. Over time, silver too has emerged as a compelling companion to gold, offering both investment potential and industrial demand drivers. Following a phase of correction in gold and silver prices, investors may consider revisiting these assets as part of a diversified portfolio strategy.
In today’s digital era, one can opt for investing via the Mutual Fund (MF) route - that is via Exchange Traded Funds (ETFs) and Fund of Funds (FoFs) instead of making purchases in the form of jewellery, coins, bars, etc. Investors can gain exposure to Gold by investing in HDFC Gold ETF and/or HDFC Gold ETF Fund of Fund. Similarly, they can gain exposure to Silver by investing in HDFC Silver ETF and/or HDFC Silver ETF Fund of Fund.
Thus, investors are saved from the hassle of physical storage as the respective ETF scheme stores the respective metal with the custodian in secure vaults.
~Complies with Good Delivery norms as specified by SEBI Regulations.
The digital route through MFs is one of the ways to uphold the spirit of the festivals, while keeping convenience and safety at the forefront. Investing in these precious metals through MFs blends together tradition and innovation – a fitting reflect-ion of how modern India seeks to invest.
supply chains normalize will determine the inflation outlook and in turn affect the Fed’s interest rate plans. In our view, in the longer term, gold is likely to benefit from increasing concerns around weaken -ing fiscal positions across large global economies, trade frictions and geopolitical tensions remaining high in an increasingly multipolar world.
Sources: Bloomberg, internal calculations. 1 - Global Financial Crisis (2/1/2008 - 29/10/2008), 2 - Taper tantrum (2/5/2013 – 30/9/2013), 3 - China devaluation (15/6/2015 – 15/2/2016), 4 – Pandemic (15/1/2020 – 30/3/2020), 5 - Russia-Ukraine war (18/10/2021 – 30/6/2022), 6 – Global uncertainties / tariff tantrum (16/9/2024 – 15/4/2025), 7- Geopolitical uncertainties and oil price spike (2/1/2026 – 30/3/2026). Data as of Mar 30, 2026. Note the historical examples above are not exhaustive and are for illustration purposes. Past performance may or may not be sustained in the future and is not a guarantee of any future returns. HDFC AMC/Mutual Fund is not guaranteeing or promising or forecasting any returns.
Industrial demand remains an important driver for silver prices owing to its use in new age and green technologies including Solar Panels and Electric Vehicles. This demand is linked to economic activity. The conflict resulted in a disruption in industrial activities owing to which the demand for silver fell and its price corrected sharply. In the longer term, however , silver may continue to
benefit from demand and supply side factors. The metal’s demand is driven by its application in several new age industries, with numerous use cases across electric vehicles, solar power, 5G infrastructure, AI-related electron -ics, etc. and investment demand. On the supply side, Silver is expected to be in structural deficit for the fifth consecutive year
(Source: The Silver Institute – World Silver Survey 2025).
One can invest digitally through the MF route in Gold and Silver via ETFs and FoFs. ETFs can be traded on a Stock Exchange and require a demat account. FoFs invest in units of the ETF and a demat account is not required to invest in FoFs.
@Complies with Good Delivery norms as specified by SEBI Regulations. HDFC Gold ETF Fund of Fund investors also enjoy this feature as the Fund of Fund (FoF) invests in HDFC Gold ETF units.
# Complies with Good Delivery norms as specified by SEBI Regulations. HDFC Silver ETF Fund of Fund investors also enjoy this feature as the Fund of Fund (FoF) invests in HDFC Silver ETF units.
SIP – Systematic Investment Plan, STP – Systematic Transfer Plan, SWP – Systematic Withdrawal Plan
The convergence of cultural sentiment and and market opportunity offers a compelling case for investments in precious metals. With prices having corrected and an existing environment of global uncertainty, gold and silver continue to be regarded as symbols of prosperity and as pillars of prudent investing. Rather than viewing gold and silver as short-term trades, investors can approach them as strategic portfolio diversifiers.
Note: Investors in the Scheme (HDFC Gold ETF Fund of Fund and HDFC Silver ETF Fund of Fund) shall bear the recurring expenses of the Scheme in addition to the expenses of other schemes in which this Fund of Funds scheme makes investment (subject to regulatory limits).
Views expressed herein as on Apr 10, 2026 involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied herein. Schemes/Stocks/Sectors referred are illustrative and should not be construed as an investment advice or a research report or a recommendation by HDFC Mutual Fund (“the Fund”) / HDFC AMC to buy or sell the stock or any other security covered under the respective sector/s. The Fund may or may not have any present or future positions in these sectors. HDFC Mutual Fund/ HDFC AMC is not indicating or guaranteeing returns on any investments. Readers should seek professional advice before taking any investment related decisions.
NSE Disclaimer: The above mentioned Schemes offered by HDFC Asset Management Company Limited (HDFC AMC) having benchmark as NSE Indices are not sponsored, endorsed, sold or promoted by NSE INDICES LIMITED (formerly known as India Index Services & Products Limited (IISL)). NSE INDICES LIMITED does not make any representation or warranty, express or implied (including warranties of merchantability or fitness for particular purpose or use) and disclaims all liability to the owners of the Products or any member of the public regarding the advisability of investing in securities generally or in the Products linked to the respective underlying indices of NSE to track general stock market performance in India. Please read the full Disclaimers in the Offer Document of the Products.
BSE Disclaimer: The above mentioned schemes of HDFC AMC having benchmark as BSE Indices are based on the underlying indices of BSE. BSE® and SENSEX® are registered trademarks of BSE Limited. The Schemes is not sponsored, endorsed marketed or promoted by BSE or their respective affiliates. Please refer to the Scheme Information Document for disclaimers.
MSCI Disclaimer: HDFC Developed World Overseas Equity Passive FOF is not sponsored, endorsed, sold or promoted by MSCI. All MSCI indexes are owned by MSCI and provided as-is without any warranties. MSCI assumes no liability for or in connection with the MSCI indexes. Please refer the Scheme Information Document for complete disclaimer.
CRISIL Disclaimer and Copyright Notice : “© CRISIL Limited. All Rights Reserved Each CRISIL Index (including, for the avoidance of doubt, its values and constituents) is the sole property of CRISIL Limited (CRISIL). No CRISIL Index may be copied, retransmitted or redistributed in any manner. While CRISIL uses reasonable care in computing the CRISIL Indices and bases its calculation on data that it considers reliable, CRISIL does not warrant that any CRISIL Index is error-free, complete, adequate or without faults. Anyone accessing and/or using any part of the CRISIL Indices does so subject to the condition that: (a) CRISIL is not responsible for any errors, omissions or faults with respect to any CRISIL Index or for the results obtained from the use of any CRISIL Index; (b) CRISIL does not accept any liability (and expressly excludes all liability) arising from or relating to their use of any part of CRISIL Indices.
The views are based on internal data, publicly available information and other sources believed to be reliable. The statements contained herein are based on our current views and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such statements. Stocks/Sectors referred are illustrative and not recommended by HDFC Mutual Fund (“the Fund”)/ HDFC AMC. The Schemes of the Fund may or may not have any present or future positions in these sectors. It should not be construed as an investment advice or a research report or a recommendation by the Fund/HDFC AMC to buy or sell the stock or any other security covered under the respective sector/s. The Fund/ HDFCAMC is not guaranteeing any returns on investments made in the Scheme(s). Past performance may or may not be sustained in future and is not a guarantee of any future returns. HDFC Asset Management Company Limited (“HDFC AMC”) does not warrant the completeness or accuracy of the information herein. Neither HDFC AMC, nor any person connected with it, accepts any liability arising from the use of this material. The recipient(s) should before taking any decision, should make their own investigation and seek appropriate professional advice.
MUTUAL FUND INVESTMENTS ARE SUBJECT TO MARKET RISKS, READ ALL SCHEME RELATED DOCUMENTS CAREFULLY.
Receive Index Insider every month for insights shaping the passive investing world
Did you find this interesting?
Your opinion matters - share your thoughts and help us improve.
