Silver ETCs and Silver ETFs
Exchange-traded commodities are also called ETCs (Exchange Traded Commodities) and are a bearer bond of the respective bank that you choose. For you as an investor, this offers the advantage of being able to participate in commodity trading relatively easily. With the purchase of such a security, you give the issuer a loan, with which they then buy the silver (this is mainly done in physical form) and keep it. In the event of bankruptcy of the bank, you are protected in that the stored silver is reserved for you. In addition, there is no VAT. However, what you should bear in mind are the costs that you may incur, including management and storage fees. In addition, ETCs are subject to a withholding tax, as is the case with shares.
The Invesco Physical Silver is one of the cheapest silver ETCs with a total expense ratio of 0.19% pa.
But: Silver ETFs are not permitted in Germany because the UCITS guidelines do not allow index funds that only consist of one value or commodity. However, this does not apply to Switzerland, where you can trade silver via ETFs.