Latest news with #ClientAssociates
Economic Times
30-07-2025
- Business
- Economic Times
Silver seen as strategic bet, prices may surge 15–20% over next 2 years: Client Associates
Silver prices could rise 15–20% over the next 12 to 24 months, driven by a persistent supply-demand imbalance and growing industrial usage, according to a new report by Client Associates (CA). ADVERTISEMENT In its latest report, CA positions silver as both a strategic asset class and a powerful portfolio diversifier with strong medium-term return potential. 'Silver is no longer just a precious metal—it is a modern asset class backed by industrial relevance and historical trust, offering a compelling dual advantage,' said Nitin Aggarwal, Director – Investment Research and Advisory at Client Associates. 'For investors seeking tactical alpha along with diversification, silver offers a unique blend of opportunity and resilience.' Client Associates notes that silver is uniquely positioned at the intersection of defensive and growth strategies. While it shares gold's traditional role as a monetary hedge, its applications in solar energy, electric vehicles, semiconductors, and 5G infrastructure lend it substantial industrial dual nature links its price trajectory to both economic uncertainty and global technology cycles. ADVERTISEMENT 'Silver combines defensive and growth characteristics, making it highly relevant in today's macro environment,' the report stated, highlighting its potential as a modern portfolio report identifies a persistent supply-demand mismatch as a key structural driver. In 2024, the global silver market saw its fourth consecutive annual deficit, with supply falling short of demand by around 149 million ounces. ADVERTISEMENT This shortfall is expected to persist in 2025 amid rising consumption and limited mining and recycling capacity. While total demand in 2024 dipped slightly due to a slowdown in investment and silverware categories, industrial demand rose 3.6% year-on-year, hitting a record high for the fourth straight year. ADVERTISEMENT Client Associates notes that the gold-silver ratio—currently around 90—is well above its long-term average of 68, indicating that silver remains undervalued relative to gold. If gold prices stay stable, silver has room to outperform. The report also highlights silver's value in portfolio diversification, citing its low correlation with the Sensex (0.21) and moderate correlation with gold (0.72). 'Silver offers higher short-term return potential—albeit with greater volatility and sharper drawdowns,' CA added, suggesting its use for both defensive and tactical allocations. ADVERTISEMENT The report outlines suitable investment routes depending on investor preferences. For short-term investors with Demat accounts, Silver ETFs are a cost-effective and tax-efficient option. For long-term investors without Demat access, Silver ETF Fund-of-Funds (FoFs) offer convenient exposure with added the outlook is bullish, Client Associates cautions about potential risks such as increased mining output, a slowdown in industrial growth, and material substitution in sectors like electronics and solar. (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
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Business Standard
29-07-2025
- Business
- Business Standard
Looking for 15-20% returns? Silver is the new gold. Experts explain why
In a world increasingly defined by tech innovation, energy transition, and geopolitical uncertainty, silver is fast emerging as the new gold for investors seeking both resilience and returns. A new report by wealth advisory firm Client Associates, managing over $6.1 billion in assets, presents a strong case for silver as a strategic, dual-role investment asset that could deliver 15–20% returns in the next 12–24 months. Why Silver? Unlike gold, which is seen largely as a hedge against inflation and volatility, silver combines monetary value with industrial utility. According to the report, silver demand is surging from high-growth sectors like: Solar energy and green infrastructure Electric vehicles (EVs) Semiconductors and 5G At the same time, mining and recycling supply remains constrained, causing a global supply deficit for the fourth year in a row—to the tune of 149 million ounces in 2024 alone. Silver currently trades at a gold-silver ratio of 90, compared to the long-term average of 68. This makes silver appear undervalued, especially if gold prices stabilize. Over time, silver has shown low correlation with Indian equities (0.21 with Sensex) and moderate correlation with gold (0.72), helping balance risk in diversified portfolios. "Silver is no longer just a precious metal—it is a modern asset class," says Nitin Aggarwal, Director – Investment Research at Client Associates. "It brings together industrial relevance and historical trust to offer a compelling dual advantage.' The Investment Case for Silver Silver's unique market dynamics, risk profile, and investment potential Supply Dynamics • Despite a 1.7% year-on-year increase in global silver supply to 1,015.1 million ounces (Moz) in 2024, the total demand, which stood at 1,160.1 Moz, resulted in a supply deficit of approximately 149 Moz (about 15% of total supply). This marked the fourth consecutive year of a silver market shortage. • As a result, silver prices are being supported by strong structural tailwinds, driven by rising demand from new-age sectors - such as solar energy, electric vehicles, & electronics with amidst a deficit supply Demand Dynamics • In 2024, total silver demand declined by 2.8% year-on-year. This decline was primarily driven by weakness in net physical investment, silverware, and photographic applications. • However, the industrial demand (electrical & electronics, brazing alloys & solders, and other industrials) increased by 3.6% y-o-y, marking the fourth consecutive year of record highs and providing strong support to silver prices. Over the long term, global silver demand has grown at a CAGR of around 2% from 2016 to 2024. Client Associates also highlights silver's role as an effective portfolio diversifier. It has low correlation with Indian equities (0.21 with the Sensex) and a moderate correlation with gold (0.72), allowing it to complement both equity-heavy and gold-heavy portfolios. Over longer horizons, gold and silver returns tend to converge, but silver offers higher short-term return potential—albeit with greater volatility and sharper drawdowns. From a portfolio construction standpoint, silver can play both a defensive and opportunistic role. While gold remains a preferred hedge in uncertain times, silver's linkage with industrial growth makes it well-suited for tactical allocations aligned with long-term global themes like decarbonization, digitalisation, and infrastructure upgrades. Risks to Watch The silver story isn't without caveats. The report warns investors of: Potential increase in mining output, which could ease the supply crunch Global slowdown that could reduce industrial demand Material substitution in key industries like electronics and solar How to Invest in Silver Depending on investment goals and logistics, here are viable options: Silver ETFs: Great for short-term tactical plays; Demat required Silver ETF Fund-of-Funds (FoFs): Better for long-term passive investors; no Demat needed For investors with Demat accounts and shorter investment horizons, Silver ETFs are a cost-efficient and tax- advantaged route. For Indian investors building a goal-linked portfolio, silver can serve as a growth-hedge hybrid—especially relevant in a world that is digital, decarbonized, and geopolitically unpredictable. From a portfolio construction standpoint, silver can play both a defensive and opportunistic role. Why Silver Deserves a Place in Your Portfolio 15–20% return potential in 1–2 years Structural supply deficit + industrial demand boom Diversifies equity and gold-heavy portfolios Ideal for both short-term and long-term allocations Over longer horizons, gold and silver returns tend to converge, but silver offers higher short-term return potential—albeit with greater volatility and sharper drawdowns.
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Business Standard
16-07-2025
- Business
- Business Standard
EB-5: Visa dates for Indian investors jump 6 months, Green Card line clears
The US Department of State's August 2025 Visa Bulletin on Tuesday brought some relief for Indian EB-5 applicants. The Final Action Date for India in the Unreserved EB-5 category has moved forward by over six months to November 15, 2019, one of the sharpest movements in this month's bulletin. 'For Indian applicants who've been waiting in a lengthy queue, this forward movement offers renewed hope,' Vinay Kumar, director – estate and succession planning at Client Associates told Business Standard. 'The reserved categories, including rural and high unemployment areas, remain current, and applicants in these usually receive their green cards within two to three years.' The EB-5 visa programme, which allows foreign investors to obtain US permanent residency, has become increasingly popular among Indian families seeking a direct route to a green card. What is the EB-5 visa? The EB-5 visa is a US immigrant investor programme under the employment-based fifth preference category. It allows foreign nationals to invest a minimum of $800,000 (around ₹7 crore) into a qualifying US business, provided it creates or preserves at least 10 jobs for American workers. The visa covers the investor, their spouse, and unmarried children under the age of 21. Upon approval, the family receives US green cards. Record backlog spurs shift to investor route The jump in priority dates comes at a time when the backlog for other US visa categories has grown sharply. As of July 2025, more than 11 million cases were pending across the US immigration system, including applications from Indian H-1B workers and family-based green card hopefuls. 'With the record backlog crushing hopes for other categories, EB-5 has become the fastest and most assured route to US permanent residency,' Piyush Gupta, vice president for India and Middle East at CanAm Enterprises told Business Standard. 'The six-month jump in priority dates is a welcome development for Indian investors.' Why the dates moved forward In April 2025, the EB-5 Unreserved final action date for India was pushed back due to high demand. However, the August 2025 bulletin notes that unused family-sponsored visas are now available to be reallocated to employment-based categories, including EB-5. This allowed the Department of State to move India's Final Action Date to November 15, 2019. The EB-5 Unreserved category includes investments made outside of designated high-unemployment or rural areas. USCIS cautioned that if the annual cap for EB-5 Unreserved is reached, the category could be made 'unavailable' again with immediate effect. Surge in Indian EB-5 demand According to the American Immigrant Investor Alliance (AIIA), demand from Indian nationals has grown sharply since April 2024, driven in part by stricter US controls on student and temporary work visas under President Donald Trump. 'In the first four months of FY2025 alone, Indian applicants filed more than 1,200 I-526E petitions across reserved categories—more than any prior full year,' Nicholas Mastroianni III, president and CMO of United States Immigration Fund (USIF), which runs EB-5 regional centres in the US, told Business Standard. Data published by the AIIA under the Freedom of Information Act shows that Indian EB-5 petition filings since October 2022 have exceeded 1,790. Year-wise Indian EB-5 filings FY2020: Around 290 FY2021: 80–100 (due to COVID-19 impact) FY2022: Over 1,100 (after Reform and Integrity Act) FY2023: Around 650–700 FY2024: Around 600–700 FY2025 (October 2024 to January 2025): Over 1,200 'If this pace continues, India could cross 2,000 filings by the end of FY2025,' said Mastroianni. Why Indians prefer EB-5 over H-1B or student visas 'There's growing uncertainty around temporary visa statuses,' said Gupta. 'With EB-5, investors have a more direct, secure alternative.' One factor making the route more appealing is the concurrent filing option. 'Applicants already in the US—such as students—can file their EB-5 petition and green card application at the same time,' Gupta said. 'This allows them to stay, work and travel while their case is processed.' Mastroianni added, 'It's not just about faster green cards. EB-5 means freedom from H-1B lotteries, employer dependence and annual visa renewals. It gives families more control.' No reliance on lottery systems
