ETFs Offer an Easier Way to Hold Physical Metal. Is Buying Gold or Silver the Better Bet in 2026?
2026-07-17 21:02
•Brendan Coffey •The Motley Fool
•••• ••• Axe Capital view
Gold or Silver ETFs: Which to Back in 2026?
Silver ETFs show stronger performance and industrial demand, but gold remains a safer hedge.
Investors on the JSE rarely get direct exposure to physical metals without complicated structures. While global ETFs like SPDR Gold Shares (GLD) and ABRDN Physical Silver Shares (SIVR) dominate, South Africans watching the rand and mining stocks should note silver’s growing edge. Silver’s role in renewable energy and electronics could drive higher industrial demand, helping SIVR outperform GLD in recent years. That said, gold retains its allure as a volatility buffer and inflation hedge—a key consideration when USD/ZAR swings are frequent. Sasol or AngloGold Ashanti aren’t perfect stand-ins for pure metal plays but can serve as local proxies for commodity trends. I lean toward silver ETFs for 2026 given their cost advantage and growth drivers, but a surge in geopolitical risk or dollar strength could send investors rushing back to gold. this is just my opinion and not financial advice
I would overweight silver ETFs through offshore accounts while selectively holding gold or gold-linked JSE miners as a defensive play. Keep an eye on rand volatility and industrial demand for cues to adjust.
- SIVR
- GLD
- AngloGold Ashanti
- USD/ZAR
- Sharp USD strength lifting gold over silver
- Slower-than-expected adoption of renewable energy reducing silver industrial demand
6/10
The article compares two precious metals ETFs: SPDR Gold Shares (GLD) and ABRDN Physical Silver Shares ETF (SIVR). While GLD offers lower volatility with a 0.40% expense ratio, SIVR is more cost-effective at 0.30% and has outperformed gold over the past 1, 3, 5, and 10 years. The author recommends SIVR as the better buy for 2026, citing silver's higher industrial demand from renewable energy applications and superior long-term performance.
This article was originally published by The Motley Fool and has been adapted here for Axe Capital Trading News.
Publisher: The Motley Fool
Author: Brendan Coffey
Categories: Macro, Inflation, Commodities, Metals
Tickers: STT, STTPG, XLF
Sentiment: Neutral - Mentioned only as the company behind GLD with no specific commentary on its operations or performance; serves as background information rather than investment analysis.
Keywords: precious metals ETFs, gold vs silver, physical bullion, expense ratios, inflation hedge, renewable energy demand, collectibles tax treatment
Insights:
- STT: Neutral: Mentioned only as the company behind GLD with no specific commentary on its operations or performance; serves as background information rather than investment analysis.
- STTPG: Neutral: Mentioned only as the company behind GLD with no specific commentary on its operations or performance; serves as background information rather than investment analysis.
- XLF: Neutral: Mentioned only as the company behind GLD with no specific commentary on its operations or performance; serves as background information rather than investment analysis.