Two sparkling silver ETFs

By Deputy Editor Tim Bennett Dec 04, 2007

Tim Bennett

At MoneyWeek, we are big fans of silver. One of the best ways to buy silver while keeping investing costs down is via exchange traded funds (ETFs).

But there are two listed on the London Stock Exchange, LSE:PHAG and LSE:SLVR – so what’s the difference between the two?

In most respects, very little. Both are managed by ETF Securities and charge a 0.49% annual fee; both can be held in an Isa or Sipp; and, above all, the performance is near identical.

The main difference is in how each tracks the performance of silver – PHAG follows the silver spot price, while SLVR tracks the price of silver futures traded on the Commercial Exchange in New York (COMEX).

PHAG probably has the edge for sterling investors – ETF Securities has launched a pound-denominated version, making it the more convenient option for those buying in the UK.

Published in Precious metals & gems | More articles by Tim Bennett

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