Expansion: Silver ETF refers to a financial derivative product based on silver and tracking the fluctuation of spot silver price. Large silver producers entrust physical silver to fund companies, and then fund companies publicly issue fund shares on exchanges based on this physical silver and sell them to various investors. Commercial banks act as fund custodians and physical custodians respectively, and investors can freely redeem the funds during their existence.
Silver ETF is listed on the stock exchange, and investors can trade silver ETF as easily as buying and selling stocks. Low transaction cost is a big advantage of silver ETF. Investors don't need to pay silver custody fees, custody fees, insurance fees, etc., but only need to pay the usual management fee of about 0.3% to 0.4%, which saves 2% to 3% on average compared with other silver investment channels, and has outstanding advantages.