LONDON (Commodity Online): Popularity of commodity investment websites and increased awareness among investors have come to the rescue of silver in 2010 with the metal winning the hearts of many top level investors in the recent past.

Till now, considered as a metal which always plays second fiddle to gold, silver has come of age now as far as investment is concerned.

In a recent analysis, it has emerged that more and more investors are reading about the investment options on websites and they take decisions on investments after considering expert opinions. This has helped a big way silver, which is a favourite for market experts as of now. In 2010, almost all commodity websites and market analysts had advised people to put their money in silver as the metal prices are set to soar in the coming days.

So, many investment portfolios of affluent investors are now showing silver as a major option. All of them are expecting  a surge in silver prices, coupled with factors like low inventory levels and higher global inflation.

Experts Have been advising people to increase exposure to silver through structured products, overseas exchange traded funds and futures contracts on local commodity exchanges.

According to a report in Economic Times, investors are putting their money in silver ETFs like I-Shares Silver, Powershares Silver, SPDR Silver Fidelity, Vanguard and other commodity funds. They also go for investing in silver-based structured products of top investment banks like Barclays, RBS and Deutsche Bank.

According to experts, higher global inflation and the weakening of dollar to euro would result in money flowing into precious metals.
Industrial demand is expected to firm up the price of silver in international market. Silver is an industrial metal used in everything from flat-screen TVs to zinc-lithium batteries. The industrial uses for silver keep growing.

The SLV silver ETF has also proven very successful. With $5.1b in net assets, it already ranks among the top 20 largest ETFs in the US. And the 287m ounces of physical silver bullion it holds in trust for its stock investors is impressive.

SLV has truly become a force to be reckoned with in the silver world, fulfilling the worst fears of silver’s industrial users who actively lobbied the SEC against approving this ETF before it was born. They feared the massive pools of stock-market capital that would flood into physical silver via this new ETF conduit would drive up prices. They were right, silver was trading around $12 when SLV came online.

But SLV has proven a boon for silver investors on multiple fronts. Most importantly, more capital chasing the small silver market ultimately means a longer secular bull powering to a higher climax. SLV created a first-ever conduit for stock investors, which aren’t traditionally physical-silver investors, to easily migrate capital into silver. Billions of dollars of stock-market capital have already flooded into this metal that probably wouldn’t have otherwise.

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