Exchange-traded funds offer a convenient way to invest in sectors or niches that interest you. If you expect the silver industry to prosper over time, the Global X Silver Miners ETF
ETFs often sport lower expense ratios than their mutual fund cousins. The silver ETF's expense ratio -- its annual fee -- is 0.65%. That's a bit higher than the typical ETF, but far lower than the typical stock mutual fund. Note that the fund is relatively small, so if you're thinking of buying, beware of occasionally large spreads between its bid and ask prices. Consider using a limit order if you want to buy in.
This ETF is too young to have enough of a track record to assess. Even so, as with most investments, we can't expect outstanding performances in every quarter or year. Investors with conviction need to wait for their holdings to deliver.
What's in it?
Most major silver companies posted poor performances over the past year, but they could see their fortunes change in the coming years.
The big picture
Demand for silver isn't going away anytime soon. A well-chosen ETF can grant you instant diversification across any industry or group of companies -- and make investing in and profiting from it that much easier.
If you're more interested in gold than silver, check out our special free report, "The Tiny Gold Stock Digging Up Massive Profits," for a compelling candidate for your portfolio.
Longtime Fool contributor Selena Maranjian, whom you can follow on Twitter, holds no position in any company mentioned. Click here to see her holdings and a short bio. The Motley Fool has a disclosure policy.