What is a silver ETF? The influence of ETF silver position on paper silver. Silver ETF refers to assets based on silver, which is a financial derivative that tracks the price changes of spot silver. Large silver manufacturers sell physical silver to fund companies, and then fund companies rely on physical silver to publicly issue fund shares on exchanges and sell them to various investors. Commercial banks are respectively responsible for fund management banks and physical management banks, and investors can freely buy back 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 one of the advantages of silver ETF. Investors can buy silver ETFs without paying custody fees, storage fees and insurance fees, and usually only need to pay 0% to 0.4% management fees, which is very prominent compared with the average cost of 2% to 3% in other silver investment channels.

Silver ETF positions are high, and their silver trading operations generally affect the price of the silver market. Paper gold trading provides the world's largest silver ETF fund: the silver ETF positions of iShares and SilverTrust(SLV) companies in the United States.

ETF silver positions only affect the price change of silver through the relationship between market supply and demand, mainly through

First, its own factors. Because the trading volume of ETF is very large, every increase and decrease of positions will affect the supply and demand of silver in the market. For example, increasing the number of warehouses means that the purchase volume of the market will increase, the price of silver will rise, and reducing the number of warehouses is the opposite.

The second is to affect the operation of other market entities. Many people care about ETF positions. If you add positions, someone will add positions in the market, which will play a certain joint role. The increase in market procurement will be the opposite of the decrease in warehouses. Therefore, the increase or decrease of ETF silver holdings has a great relationship with the change of paper silver prices.

In addition, it should be noted that when the ETF release warehouse changes, the influence of the primary factor has been digested, and the operation behind the ETF should also be paid attention to.