Silver Prices Soar 188% in a Year: Experts Advise Caution, Profit Booking

• Silver prices have surged by 188% in the last year, prompting investors to re-evaluate investment strategies.
• Chintan Haria of ICICI Prudential AMC suggests long-term silver investment for its hedge against macroeconomic uncertainty and industrial correlation, but warns of short-term volatility.
• New investors should consider staggered investments, while existing investors should stick to their asset allocation framework and rebalance portfolios.
• Rebalancing by booking partial profits is crucial when silver's weight exceeds portfolio limits, as prices are sensitive to global interest rates and the US dollar.
• Silver ETFs carry FOMO risk; SIPs are recommended for new investments, while total gold and silver exposure should be limited to 10-15% of the portfolio.

Why It Matters: Despite a 188% surge, experts advise cautious, staggered silver investments and portfolio rebalancing due to volatility.