Gold and Silver have always had a certain charm in India. Festival season arrives, and our families start checking prices. Wedding season arrives, and jewellery stores all over are swamped with buyers. 

Gold and Silver both have stayed relevant across generations. Today, they have moved from tradition to technology, from emotion to economics, and firmly hold their ground. 

Axis Gold & Silver Passive FoF brings these two timeless assets together in a convenient format. Before diving in, let’s take a look at how these metals have performed as investments and why investors keep returning to them.

Why Investors Still Choose Gold & Silver

Gold has a superpower: it tends to perform differently compared to assets like equity. 

• In the 2008 crisis, when Nifty 500 plunged 63%[i], gold rose 7.8%[ii].

• During the Yuan shock in 2015–16, equity fell 17.9%[iii]. Gold rose 17.1%[iv].

• Even during the Covid pandemic in 2020, gold barely dipped.

Investors prefer safe havens during volatile periods caused by geopolitical conflicts. From 2022–2024, central banks bought over 1,000[v] tonnes per year as countries diversified away from the dollar. With challenges like US tariffs, many investors are again seeking stability via commodities like gold.

The long-term picture is even clearer. Gold moved from ₹7,000[vi] in Oct, 2005 to ₹1,31,695[vii] in Dec 2025, an 18x jump.

Source

Silver has a different superpower. Nearly 60%[viii] of silver demand now comes from industries. Its properties like conductivity and antibacterial traits make it essential in many electronic devices across major industries like high frequency 5G applications, sensors and MEMs, PCBs, semiconductors, and medical equipment. Moreover, 1 in 5[ix] new cars is now electric (globally). EVs use up to twice[x] the silver of conventional cars and with rising EV adoption, automotive silver demand could triple[xi] by 2030. 

Silver went from ₹11,200/kg[xii] (2005) to ₹1,48,000/kg[xiii] (2025), driven by these shifts.

Investor interest and AUM trends

Indian investors didn’t watch these trends quietly, but rather they acted smartly. Over the last 12 months, gold funds clocked ₹29,868[xiv]cr in net sales, and silver funds added ₹19,125[xv]cr. AUM numbers tell an even clearer story: Gold AUM grew from ₹44,554[xvi]cr (Nov 2024) to more than ₹1,02,000[xvii]cr (Oct 2025). Silver AUM rose from ₹12,328[xviii]cr to ₹42,518[xix]cr.

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This is no longer just our regular “festival buying”. This is a long-term allocation where investors are increasingly using gold and silver to diversify their portfolios, not just as ornamentation.

Introducing Axis Gold & Silver Passive FoF

Axis Gold & Silver Passive FoF brings both metals into one fund. Instead of buying and tracking two separate precious metals, the fund balances allocation for you. It blends gold’s stability with silver’s industrial momentum, using a dynamic approach.

How the fund invests

The scheme invests primarily in Gold ETFs and Silver ETFs as follows:

• 35–65% in Gold ETFs

• 35–65% in Silver ETFs

• Up to 5% in money market instruments for liquidity

For more details please refer to the Scheme Information Document. This gives the fund manager room to adjust weights within the defined range, based on macro, technical, or market conditions, while still staying true to the passive mandate.

Benefits of investing in Axis Gold & Silver Passive FoF

• Low cost: Passive funds have relatively lower expense ratios compared to actively managed funds. Moreover, unlike physical gold and silver, you save on storage costs. 

• No storage risk: Your gold and silver stay in secure, audited vaults instead of at home.

• Liquidity: You can easily buy or redeem your investment. 

• Transparent & regulated: Your holdings are regulated by SEBI  with custodians and trustees overseeing everything.

• No platform lock-ins: Unlike digital gold, you’re not tied to one seller. You can enter or exit the fund freely.

• Purity: Axis Gold & Silver FoF holds 99.5% purity, 24K gold, which eliminates concerns about the quality of gold and silver.

Moreover, historically[xx], adding precious metals to your equity and debt portfolio smoothens returns while retaining growth potential. Their low correlation helps reduce portfolio volatility and can improve long-term risk-adjusted returns.

NFO Details (Quick Snapshot)

• Opens: 10 December 2025

• Closes: 22 December 2025

• Minimum Investment: ₹100

• Exit Load:

• a) If redeemed/switched out within 15 days from the date of allotment: 0.25%
  b) If redeemed/switched out after 15 days from the date of allotment: Nil

• Benchmark: 50% Domestic Gold Price + 50% Domestic Silver Price

• Type: Open-ended Fund of Funds investing in gold & silver ETFs

Conclusion: Why a blended approach works with Axis Gold & Silver Passive FoF?

Simply because trying to time gold and silver is like trying to time monsoon rain. One year, gold may outperform by a wide margin. Another year silver takes the lead. A standalone bet becomes unpredictable. A blended allocation can work better for a smarter portfolio. When you combine the two metals, you get a mix that adapts to changing cycles, reduces risk, and adds to long-term growth potential. Axis Gold & Silver Passive FoF brings these two metals together in a simple, transparent structure.

Axis AMC’s established track record in handling gold and silver strategies strengthens comfort for investors. For investors who seek tradition with logic, stability with growth, and diversification without complexity, this fund offers a compelling entry point.

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

Statutory Details: Axis Bank Limited is not liable or responsible for any loss or shortfall resulting from the operation of the scheme. 

This document represents the views of Axis Asset Management Co. Ltd. and must not be taken as the basis for an investment decision. Neither Axis Mutual Fund, Axis Mutual Fund Trustee Limited nor Axis Asset Management Company Limited, its Directors or associates shall be liable for any damages including lost revenue or lost profits that may arise from the use of the information contained herein. No representation or warranty is made as to the accuracy, completeness or fairness of the information and opinions contained herein.  The AMC reserves the right to make modifications and alterations to this statement as may be required from time to time. 

*Investors should consult their financial advisors if in doubt about whether the product is suitable for them. The product labelling assigned during the New Fund Offer is based on internal assessment of the Scheme Characteristics or model portfolio and the same may vary post NFO when actual investments are made