UTI AMC Halts Silver ETF Investments Amid Physical Shortage, High Premiums
UTI Asset Management Company suspended fresh investments into its Silver ETF Fund of Fund effective October 13, 2025, citing domestic silver shortages and elevated premiums over international prices. The MOVE mirrors Kotak Mahindra AMC's earlier suspension, highlighting structural supply constraints in India's physical silver market.
Spot silver prices surged to a record $51.22/oz this week as investment demand collided with tight inventories. Indian premiums spiked 10% ahead of Diwali, forcing asset managers to protect existing investors from valuation distortions caused by scarce inventory.