0001330568 iShares Silver Trust false --12-31 Q2 2024 100.04 0.04 100.00 100.04 0.04 100.00 false false false false Based on the change in net asset value of a Share during the period. Percentage is annualized. Net increase (decrease) in net assets per Share based on average shares outstanding during the period. Based on average Shares outstanding during the period. The amounts reported for a Share outstanding may not accord with the change in aggregate gains and losses on investment for the period due to the timing of Share transactions in relation to the fluctuating fair values of the Trust’s underlying investment. Percentage is not annualized. No par value, unlimited amount authorized. Cost of investment in silver bullion: $10,164,222,786 and $9,616,427,847, respectively. 10,164,222,786 9,616,427,847 0 0 478,800,000 477,000,000 00013305682024-01-012024-06-30 xbrli:shares 00013305682024-07-31 thunderdome:item iso4217:USD 00013305682024-06-30 00013305682023-12-31 iso4217:USDxbrli:shares 00013305682024-04-012024-06-30 00013305682023-04-012023-06-30 00013305682023-01-012023-06-30 00013305682024-01-012024-03-31 00013305682024-03-31 00013305682022-12-31 00013305682023-01-012023-03-31 00013305682023-03-31 00013305682023-06-30 utr:oz xbrli:pure 0001330568srt:MaximumMember2024-01-012024-06-30
 

 

Table of Contents

 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM 10-Q

 

 

☒

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the quarterly period ended June 30, 2024

or

☐

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the transition period from                        to                        

 

Commission File Number: 001-32863

 

 

iShares® Silver Trust

(Exact name of registrant as specified in its charter)

 

 

New York

13-7474456

(State or other jurisdiction of
incorporation or organization)

(I.R.S. Employer
Identification No.)

 

c/o iShares Delaware Trust Sponsor LLC
400 Howard Street
San Francisco, California 94105

(Address of principal executive offices) (Zip Code)

 

(415) 670-2000

(Registrant’s telephone number, including area code)

 

 

N/A

(Former name, former address and former fiscal year, if changed since last report)

 

 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class

Trading Symbol(s)

Name of each exchange on which registered

Shares

SLV

NYSE Arca, Inc.

 

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

 

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

 

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

 

Large accelerated filer ☒

Accelerated filer ☐

 

Non-accelerated filer ☐

Smaller reporting company ☐

Emerging growth company ☐

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

 

As of July 31, 2024, the Registrant had 506,550,000 Shares outstanding.

 

 

 
Table of Contents

 

 

Table of Contents

 

 

  Page

PART I – FINANCIAL INFORMATION

 
     
Item 1.

Financial Statements (Unaudited)

 1
     
 

Statements of Assets and Liabilities at June 30, 2024 and December 31, 2023

 1
     
 

Statements of Operations for the three and six months ended June 30, 2024 and 2023

 2
     
 

Statements of Changes in Net Assets for the three and six months ended June 30, 2024 and 2023

 3
     
 

Statements of Cash Flows for the six months ended June 30, 2024 and 2023

 5
     
 

Schedules of Investments at June 30, 2024 and December 31, 2023

 6
     
 

Notes to Financial Statements

 7
     
Item 2.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

 11
     
Item 3.

Quantitative and Qualitative Disclosures About Market Risk

 12
     
Item 4.

Controls and Procedures

 12
   

PART II – OTHER INFORMATION

  
   
Item 1.

Legal Proceedings

 13
     
Item 1A.

Risk Factors

 13
     
Item 2.

Unregistered Sales of Equity Securities and Use of Proceeds

 13
     
Item 3.

Defaults Upon Senior Securities

 13
     
Item 4.

Mine Safety Disclosures

 13
     
Item 5.

Other Information

 13
     
Item 6.

Exhibits

 14
     

SIGNATURES

 15

 

 

 
Table of Contents

 

 

PART I – FINANCIAL INFORMATION

 

Item 1. Financial Statements

 

 

iShares® Silver Trust

Statements of Assets and Liabilities (Unaudited)

At June 30, 2024 and December 31, 2023

 

  

June 30,
2024

  

December 31,
2023

 

Assets

        

Investment in silver bullion, at fair value(a)

 $12,847,843,825  $10,393,666,180 

Total Assets

  12,847,843,825   10,393,666,180 
         

Liabilities

        

Sponsor’s fees payable

  5,223,537   4,488,405 

Total Liabilities

  5,223,537   4,488,405 
         

Commitments and contingent liabilities (Note 6)

  —    —  
         

Net Assets

 $12,842,620,288  $10,389,177,775 
         

Shares issued and outstanding(b)

  478,800,000   477,000,000 

Net asset value per Share (Note 2C)

 $26.82  $21.78 

 

(a) 

Cost of investment in silver bullion: $10,164,222,786 and $9,616,427,847, respectively.

(b) 

No par value, unlimited amount authorized.

 

 

See notes to financial statements.

 

1
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iShares® Silver Trust

Statements of Operations (Unaudited)

For the three and six months ended June 30, 2024 and 2023

 

  

Three Months Ended
June 30,

  

Six Months Ended
June 30,

 
  

2024

  

2023

  

2024

  

2023

 

Expenses

                

Sponsor’s fees

 $15,254,121  $14,120,304  $27,792,119  $27,253,934 

Total expenses

  15,254,121   14,120,304   27,792,119   27,253,934 

Net investment loss

  (15,254,121)  (14,120,304)  (27,792,119)  (27,253,934)
                 

Net Realized and Unrealized Gain (Loss)

                

Net realized gain from:

                

Silver bullion sold to pay expenses

  2,597,562   1,318,757   3,191,968   2,094,798 

Silver bullion distributed for the redemption of Shares

  413,628,878   79,642,405   495,778,681   128,819,679 

Net realized gain

  416,226,440   80,961,162   498,970,649   130,914,477 

Net change in unrealized appreciation/depreciation

  1,680,168,086   (745,821,212)  1,906,382,706   (861,552,911)

Net realized and unrealized gain (loss)

  2,096,394,526   (664,860,050)  2,405,353,355   (730,638,434)
                 

Net increase (decrease) in net assets resulting from operations

 $2,081,140,405  $(678,980,354) $2,377,561,236  $(757,892,368)
                 

Net increase (decrease) in net assets per Share(a)

 $4.45  $(1.33) $5.06  $(1.48)

 

(a) 

Net increase (decrease) in net assets per Share based on average shares outstanding during the period.

 

 

See notes to financial statements.

 

2
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iShares® Silver Trust

Statements of Changes in Net Assets (Unaudited)

For the three and six months ended June 30, 2024

 

  

Six Months Ended
June 30, 2024

 

Net Assets at December 31, 2023

 $10,389,177,775 
     

Operations:

    

Net investment loss

  (12,537,998)

Net realized gain

  82,744,209 

Net change in unrealized appreciation/depreciation

  226,214,620 

Net increase in net assets resulting from operations

  296,420,831 
     

Capital Share Transactions:

    

Contributions for Shares issued

  1,314,477,812 

Distributions for Shares redeemed

  (1,432,431,212)

Net decrease in net assets from capital share transactions

  (117,953,400)
     

Increase in net assets

  178,467,431 
     

Net Assets at March 31, 2024

 $10,567,645,206 
     

Operations:

    

Net investment loss

  (15,254,121)

Net realized gain

  416,226,440 

Net change in unrealized appreciation/depreciation

  1,680,168,086 

Net increase in net assets resulting from operations

  2,081,140,405 
     

Capital Share Transactions:

    

Contributions for Shares issued

  2,115,572,235 

Distributions for Shares redeemed

  (1,921,737,558)

Net increase in net assets from capital share transactions

  193,834,677 
     

Increase in net assets

  2,274,975,082 
     

Net Assets at June 30, 2024

 $12,842,620,288 
     

Shares issued and redeemed

    

Shares issued

  141,800,000 

Shares redeemed

  (140,000,000)

Net increase in Shares issued and outstanding

  1,800,000 

 

 

See notes to financial statements.

 

3
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iShares® Silver Trust

Statements of Changes in Net Assets (Unaudited)

For the three and six months ended June 30, 2023

 

  

Six Months Ended
June 30, 2023

 

Net Assets at December 31, 2022

 $11,160,084,971 
     

Operations:

    

Net investment loss

  (13,133,630)

Net realized gain

  49,953,315 

Net change in unrealized appreciation/depreciation

  (115,731,699)

Net decrease in net assets resulting from operations

  (78,912,014)
     

Capital Share Transactions:

    

Contributions for Shares issued

  1,316,358,763 

Distributions for Shares redeemed

  (1,320,595,807)

Net decrease in net assets from capital share transactions

  (4,237,044)
     

Decrease in net assets

  (83,149,058)
     

Net Assets at March 31, 2023

 $11,076,935,913 
     

Operations:

    

Net investment loss

  (14,120,304)

Net realized gain

  80,961,162 

Net change in unrealized appreciation/depreciation

  (745,821,212)

Net decrease in net assets resulting from operations

  (678,980,354)
     

Capital Share Transactions:

    

Contributions for Shares issued

  868,097,632 

Distributions for Shares redeemed

  (751,430,827)

Net increase in net assets from capital share transactions

  116,666,805 
     

Decrease in net assets

  (562,313,549)
     

Net Assets at June 30, 2023

 $10,514,622,364 
     

Shares issued and redeemed

    

Shares issued

  100,800,000 

Shares redeemed

  (97,500,000)

Net increase in Shares issued and outstanding

  3,300,000 

 

 

See notes to financial statements.

 

4
Table of Contents

 

 

iShares® Silver Trust

Statements of Cash Flows (Unaudited)

For the six months ended June 30, 2024 and 2023

 

  

Six Months Ended
June 30,

 
  

2024

  

2023

 

Cash Flows from Operating Activities

        

Proceeds from silver bullion sold to pay expenses

 $27,056,987  $27,379,746 

Expenses – Sponsor’s fees paid

  (27,056,987)  (27,379,746)

Net cash provided by operating activities

  —   — 

Increase (decrease) in cash

  —   — 

Cash, beginning of period

  —   — 

Cash, end of period

 $—  $— 
         

Reconciliation of Net Increase (Decrease) in Net Assets Resulting from Operations to Net Cash Provided by (Used in) Operating Activities

        

Net increase (decrease) in net assets resulting from operations

 $2,377,561,236  $(757,892,368)

Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided by (used in) operating activities:

        

Proceeds from silver bullion sold to pay expenses

  27,056,987   27,379,746 

Net realized (gain) loss

  (498,970,649)  (130,914,477)

Net change in unrealized appreciation/depreciation

  (1,906,382,706)  861,552,911 

Change in operating assets and liabilities:

        

Sponsor’s fees payable

  735,132   (125,812)

Net cash provided by (used in) operating activities

 $—  $— 
         

Supplemental disclosure of non-cash information:

        

Silver bullion contributed for Shares issued

 $3,430,050,047  $2,184,456,395 

Silver bullion distributed for Shares redeemed

 $(3,354,168,770) $(2,072,026,634)

 

 

See notes to financial statements.

 

5
Table of Contents

 

 

iShares® Silver Trust

Schedules of Investments (Unaudited)

At June 30, 2024 and December 31, 2023

 

June 30, 2024

 

Description

 

Ounces

  

Cost

  

Fair Value

 

Silver bullion

  437,447,866  $10,164,222,786  $12,847,843,825 
             

Total Investments — 100.04%

          12,847,843,825 

Less Liabilities — (0.04)%

          (5,223,537)

Net Assets — 100.00%

         $12,842,620,288 

 

December 31, 2023

 

Description

 

Ounces

  

Cost

  

Fair Value

 

Silver bullion

  436,892,231  $9,616,427,847  $10,393,666,180 
             

Total Investments — 100.04%

          10,393,666,180 

Less Liabilities — (0.04)%

          (4,488,405)

Net Assets — 100.00%

         $10,389,177,775 

 

 

See notes to financial statements.

 

6
Table of Contents
 

iShares® Silver Trust

Notes to Financial Statements (Unaudited)

June 30, 2024

 

 

1 - Organization

 

The iShares Silver Trust (the “Trust”) was organized on April 21, 2006 as a New York trust. The trustee is The Bank of New York Mellon (the “Trustee”), which is responsible for the day-to-day administration of the Trust. The Trust’s sponsor is iShares Delaware Trust Sponsor LLC, a Delaware limited liability company (the “Sponsor”). The Trust is governed by the provisions of the Third Amended and Restated Depositary Trust Agreement (the “Trust Agreement”) executed by the Trustee and the Sponsor as of January 31, 2022. The Trust issues units of beneficial interest (“Shares”) representing fractional undivided beneficial interests in its net assets.

 

The Trust seeks to reflect generally the performance of the price of silver. The Trust seeks to reflect such performance before payment of the Trust’s expenses and liabilities. The Trust is designed to provide a vehicle for investors to make an investment similar to an investment in silver.

 

The accompanying unaudited financial statements were prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”) for interim financial information and with the instructions for Form 10-Q and the rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”). In the opinion of management, all material adjustments, consisting only of normal recurring adjustments considered necessary for a fair statement of the interim period financial statements, have been made. Interim period results are not necessarily indicative of results for a full-year period. These financial statements and the notes thereto should be read in conjunction with the Trust’s financial statements included in its Annual Report on Form 10-K for the year ended December 31, 2023, as filed with the SEC on February 20, 2024.

 

The Trust qualifies as an investment company solely for accounting purposes and not for any other purpose and follows the accounting and reporting guidance under the Financial Accounting Standards Board Accounting Standards Codification Topic 946, Financial Services - Investment Companies, but is not registered, and is not required to be registered, as an investment company under the Investment Company Act of 1940, as amended.

 

 

2 - Significant Accounting Policies

 

A.

Basis of Accounting

 

The following significant accounting policies are consistently followed by the Trust in the preparation of its financial statements in conformity with U.S. GAAP. The preparation of financial statements in conformity with U.S. GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.

 

B.

Silver Bullion

 

JPMorgan Chase Bank N.A., London branch (the “Custodian”), is responsible for the safekeeping of silver bullion owned by the Trust.

 

Fair value of the silver bullion held by the Trust is based on the price per ounce of silver determined in an electronic auction consisting of one or more 30‑second rounds hosted by ICE Benchmark Administration (“IBA”) that begins at 12:00 p.m. (London time) and published shortly thereafter on each day that the London silver market is open for business (such price, the “LBMA Silver Price”). If there is no announced LBMA Silver Price on any day, the Trustee is authorized to use the most recently announced LBMA Silver Price unless the Trustee, in consultation with the Sponsor, determines that such price is inappropriate as a basis for evaluation.

 

Gain or loss on sales of silver bullion is calculated on a trade date basis using the average cost method.

 

7
Table of Contents
 

The following tables summarize activity in silver bullion for the three months ended June 30, 2024 and 2023:

 

Three Months Ended June 30, 2024

 

Ounces

  

Cost

  

Fair
Value

  

Realized
Gain (Loss)

 

Beginning balance

  430,806,891  $9,568,548,144  $10,572,001,097  $— 

Silver bullion contributed

  73,975,988   2,115,572,235   2,115,572,235   — 

Silver bullion distributed

  (66,811,439)  (1,508,108,680)  (1,921,737,558)  413,628,878 

Silver bullion sold to pay expenses

  (523,574)  (11,788,913)  (14,386,475)  2,597,562 

Net realized gain

  —   —   416,226,440   — 

Net change in unrealized appreciation/depreciation

  —   —   1,680,168,086   — 

Ending balance

  437,447,866  $10,164,222,786  $12,847,843,825  $416,226,440 

     

Three Months Ended June 30, 2023

 

Ounces

  

Cost

  

Fair
Value

  

Realized
Gain (loss)

 

Beginning balance

  463,942,222  $10,057,834,978  $11,081,259,981  $— 

Silver bullion contributed

  35,590,738   868,097,632   868,097,632   — 

Silver bullion distributed

  (30,812,468)  (671,788,422)  (751,430,827)  79,642,405 

Silver bullion sold to pay expenses

  (579,393)  (12,617,472)  (13,936,229)  1,318,757 

Net realized gain

  —   —   80,961,162   — 

Net change in unrealized appreciation/depreciation

  —   —   (745,821,212)  — 

Ending balance

  468,141,099  $10,241,526,716  $10,519,130,507  $80,961,162 

 

The following tables summarize activity in silver bullion for the six months ended June 30, 2024 and 2023:

 

Six Months Ended June 30, 2024

 

Ounces

  

Cost

  

Fair
Value

  

Realized
Gain (Loss)

 

Beginning balance

  436,892,231  $9,616,427,847  $10,393,666,180  $— 

Silver bullion contributed

  129,646,899   3,430,050,047   3,430,050,047   — 

Silver bullion distributed

  (128,019,703)  (2,858,390,089)  (3,354,168,770)  495,778,681 

Silver bullion sold to pay expenses

  (1,071,561)  (23,865,019)  (27,056,987)  3,191,968 

Net realized gain

  —   —   498,970,649   — 

Net change in unrealized appreciation/depreciation

  —   —   1,906,382,706   — 

Ending balance

  437,447,866  $10,164,222,786  $12,847,843,825  $498,970,649 

 

Six Months Ended June 30, 2023

 

Ounces

  

Cost

  

Fair
Value

  

Realized
Gain (Loss)

 

Beginning balance

  466,265,146  $10,025,562,224  $11,164,718,926  $— 

Silver bullion contributed

  92,652,599   2,184,456,395   2,184,456,395   — 

Silver bullion distributed

  (89,610,880)  (1,943,206,955)  (2,072,026,634)  128,819,679 

Silver bullion sold to pay expenses

  (1,165,766)  (25,284,948)  (27,379,746)  2,094,798 

Net realized gain

  —   —   130,914,477   — 

Net change in unrealized appreciation/depreciation

  —   —   (861,552,911)  — 

Ending balance

  468,141,099  $10,241,526,716  $10,519,130,507  $130,914,477 

 

C.

Calculation of Net Asset Value

 

On each business day, as soon as practicable after 4:00 p.m. (New York time), the net asset value of the Trust is obtained by subtracting all accrued fees, expenses and other liabilities of the Trust from the fair value of the silver and other assets held by the Trust. The Trustee computes the net asset value per Share by dividing the net asset value of the Trust by the number of Shares outstanding on the date the computation is made.

 

D.

Offering of the Shares

 

Shares are issued and redeemed continuously in aggregations of 50,000 Shares in exchange for silver bullion rather than cash. Individual investors cannot purchase or redeem Shares in direct transactions with the Trust. The Trust only transacts with registered broker-dealers that are eligible to settle securities transactions through the book-entry facilities of the Depository Trust Company and that have entered into a contractual arrangement with the Trustee and the Sponsor governing, among other matters, the creation and redemption of Shares (such broker-dealers, the “Authorized Participants”). Holders of Shares of the Trust may redeem their Shares at any time acting through an Authorized Participant and in the prescribed aggregations of 50,000 Shares; provided, that redemptions of Shares may be suspended during any period while regular trading on NYSE Arca, Inc. (“NYSE Arca”) is suspended or restricted, or in which an emergency exists as a result of which delivery, disposal or evaluation of silver is not reasonably practicable.

 

The per Share amount of silver exchanged for a purchase or redemption represents the per Share amount of silver held by the Trust, after giving effect to its liabilities.

 

When silver bullion is exchanged in settlement of a redemption, it is considered a sale of silver bullion for accounting purposes.

 

8
Table of Contents
 

E.

Federal Income Taxes

 

The Trust is treated as a grantor trust for federal income tax purposes and, therefore, no provision for federal income taxes is required. Any interest, expenses, gains and losses are passed through to the holders of Shares of the Trust.

 

The Sponsor has analyzed applicable tax laws and regulations and their application to the Trust as of June 30, 2024 and does not believe that there are any uncertain tax positions that require recognition of a tax liability.

 

 

3 - Trust Expenses

 

The Sponsor’s fee is accrued daily at an annualized rate equal to 0.50% of the net asset value of the Trust, paid monthly in arrears. The Sponsor has agreed to assume the following administrative and marketing expenses incurred by the Trust: the Trustee’s fee and reimbursement for its reasonable out‑of‑pocket expenses, the Custodian’s fee, NYSE Arca listing fees, SEC registration fees, printing and mailing costs, audit fees and expenses, and up to $500,000 per annum in legal fees and expenses. The Sponsor may determine in its sole discretion to assume legal fees and expenses of the Trust in excess of the amount required under the Trust Agreement. To the extent that the Sponsor does not voluntarily assume such fees and expenses, they will be the responsibility of the Trust.

 

 

4 - Related Parties

 

The Sponsor and the Trustee are considered to be related parties to the Trust. The Trustee’s fee is paid by the Sponsor and is not a separate expense of the Trust.

 

 

5 - Indemnification

 

The Trust Agreement provides that the Trustee shall indemnify the Sponsor, its directors, employees and agents against, and hold each of them harmless from, any loss, liability, cost, expense or judgment (including reasonable fees and expenses of counsel) (i) caused by the negligence or bad faith of the Trustee or (ii) arising out of any information furnished in writing to the Sponsor by the Trustee expressly for use in the registration statement, or any amendment thereto or periodic or other report filed with the SEC relating to the Shares that is not materially altered by the Sponsor.

 

The Trust Agreement provides that the Sponsor and its shareholders, directors, officers, employees, affiliates (as such term is defined under the Securities Act of 1933, as amended) and subsidiaries shall be indemnified from the Trust and held harmless against any loss, liability or expense incurred without their (1) negligence, bad faith, willful misconduct or willful malfeasance arising out of or in connection with the performance of their obligations under the Trust Agreement or any actions taken in accordance with the provisions of the Trust Agreement or (2) reckless disregard of their obligations and duties under the Trust Agreement.

 

The Trust has agreed that the Custodian will only be responsible for any loss or damage suffered by the Trust as a direct result of the Custodian’s negligence, fraud or willful default in the performance of its duties.

 

The Trust’s maximum exposure under these arrangements is unknown because it involves future potential claims against the Trust, which cannot be predicted with any certainty.

 

 

6 - Commitments and Contingent Liabilities

 

In the normal course of business, the Trust may enter into contracts with service providers that contain general indemnification clauses. The Trust’s maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Trust, which cannot be predicted with any certainty.

 

 

7 - Concentration Risk

 

Substantially all of the Trust’s assets are holdings of silver bullion, which creates a concentration risk associated with fluctuations in the price of silver. Accordingly, a decline in the price of silver will have an adverse effect on the value of the Shares of the Trust. Factors that may have the effect of causing a decline in the price of silver include a change in economic conditions (such as a recession); a significant increase in the hedging activities of silver producers; significant changes in the attitude of speculators, investors and other market participants towards silver; global silver supply and demand; global or regional political, economic or financial events and situations; investors’ expectations with respect to the rate of inflation; interest rates; investment and trading activities of hedge funds and commodity funds; other economic variables such as income growth, economic output, and monetary policies; and investor confidence.

 

9
Table of Contents
 
 

8 - Financial Highlights

 

The following financial highlights relate to investment performance and operations for a Share outstanding for the three and six months ended June 30, 2024 and 2023.

 

  

Three Months Ended
June 30,

  

Six Months Ended
June 30,

 
  

2024

  

2023

  

2024

  

2023

 

Net asset value per Share, beginning of period

 $22.44  $21.95  $21.78  $22.03 
                 

Net investment loss(a)

  (0.03)  (0.03)  (0.06)  (0.05)

Net realized and unrealized gain (loss)(b)

  4.41   (1.30)  5.10   (1.36)

Net increase (decrease) in net assets from operations

  4.38   (1.33)  5.04   (1.41)

Net asset value per Share, end of period

 $26.82  $20.62  $26.82  $20.62 
                 

Total return, at net asset value(c)(d)

  19.52%  (6.06)%  23.14%  (6.40)%
                 

Ratio to average net assets:

                

Net investment loss(e)

  (0.50)%  (0.50)%  (0.50)%  (0.50)%

Expenses(e)

  0.50%  0.50%  0.50%  0.50%

 

(a) 

Based on average Shares outstanding during the period.

(b) 

The amounts reported for a Share outstanding may not accord with the change in aggregate gains and losses on investment for the period due to the timing of Share transactions in relation to the fluctuating fair values of the Trust’s underlying investment.

(c) 

Based on the change in net asset value of a Share during the period.

(d) 

Percentage is not annualized.

(e) 

Percentage is annualized.

 
 

9 - Investment Valuation

 

U.S. GAAP defines fair value as the price the Trust would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. The Trust’s policy is to value its investment at fair value.

 

Various inputs are used in determining the fair value of assets and liabilities. Inputs may be based on independent market data (“observable inputs”) or they may be internally developed (“unobservable inputs”). These inputs are categorized into a disclosure hierarchy consisting of three broad levels for financial reporting purposes. The level of a value determined for an asset or liability within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement in its entirety. The three levels of the fair value hierarchy are as follows:

 

 

Level 1  − 

Unadjusted quoted prices in active markets for identical assets or liabilities;

 

 

Level 2  − 

Inputs other than quoted prices included within Level 1 that are observable for the asset or liability either directly or indirectly, including quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not considered to be active, inputs other than quoted prices that are observable for the asset or liability, and inputs that are derived principally from or corroborated by observable market data by correlation or other means; and

 

 

Level 3  − 

Unobservable inputs that are unobservable for the asset or liability, including the Trust’s assumptions used in determining the fair value of investments.

 

At June 30, 2024 and December 31, 2023, the value of the silver bullion held by the Trust is categorized as Level 1.

 

10
Table of Contents
 
 

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

 

This information should be read in conjunction with the financial statements and notes to financial statements included in Item 1 of Part I of this Form 10‑Q. The discussion and analysis that follows may contain statements that relate to future events or future performance. In some cases, such forward‑looking statements can be identified by terminology such as “may,” “should,” “could,” “expect,” “plan,” “anticipate,” “believe,” “estimate,” “predict,” “potential” or the negative of these terms or other comparable terminology. These statements are only predictions. Actual events or results may differ materially. These statements are based upon certain assumptions and analyses made by the Sponsor on the basis of its perception of historical trends, current conditions and expected future developments, as well as other factors it believes are appropriate in the circumstances. Whether or not actual results and developments will conform to the Sponsor’s expectations and predictions, however, is subject to a number of risks and uncertainties, including the special considerations discussed below, general economic, market and business conditions, changes in laws or regulations, including those concerning taxes, made by governmental authorities or regulatory bodies, and other world economic and political developments. Although the Sponsor does not make forward-looking statements unless it believes it has a reasonable basis for doing so, the Sponsor cannot guarantee their accuracy. Except as required by applicable disclosure laws, neither the Trust nor the Sponsor is under a duty to update any of the forward-looking statements to conform such statements to actual results or to a change in the Sponsor’s expectations or predictions.

 

Introduction

 

The iShares Silver Trust (the “Trust”) is a grantor trust formed under the laws of the State of New York. The Trust does not have any officers, directors, or employees, and is administered by The Bank of New York Mellon (the “Trustee”) acting as trustee pursuant to the Third Amended and Restated Depositary Trust Agreement (the “Trust Agreement”) between the Trustee and iShares Delaware Trust Sponsor LLC, the sponsor of the Trust (the “Sponsor”). The Trust issues units of beneficial interest (“Shares”) representing fractional undivided beneficial interests in its net assets. The assets of the Trust consist primarily of silver bullion held by a custodian as an agent of the Trust responsible only to the Trustee.

 

The Trust is a passive investment vehicle and seeks to reflect generally the performance of the price of silver. The Trust seeks to reflect such performance before payment of the Trust’s expenses and liabilities. The Trust does not engage in any activities designed to obtain a profit from, or ameliorate losses caused by, changes in the price of silver.

 

The Trust issues and redeems Shares only in exchange for silver, only in aggregations of 50,000 Shares (a “Basket”) or integral multiples thereof, and only in transactions with registered broker-dealers that have previously entered into an agreement with the Sponsor and the Trustee governing the terms and conditions of such issuance (such broker-dealers, the “Authorized Participants”). A list of the current Authorized Participants is available from the Sponsor or the Trustee.

 

Shares of the Trust trade on NYSE Arca, Inc. under the ticker symbol SLV.

 

Valuation of Silver Bullion; Computation of Net Asset Value

 

On each business day, as soon as practicable after 4:00 p.m. (New York time), the Trustee evaluates the silver held by the Trust and determines the net asset value of the Trust and net asset value per Share (“NAV”). The Trustee values the silver held by the Trust using the price per ounce of silver determined in an electronic auction hosted by ICE Benchmark Administration (“IBA”) that begins at 12:00 p.m. (London time) and published shortly thereafter, on the day the valuation takes place (such price, the “LBMA Silver Price”). If there is no announced LBMA Silver Price on any day, the Trustee is authorized to use the most recently announced LBMA Silver Price unless the Trustee, in consultation with the Sponsor, determines that such price is inappropriate as a basis for evaluation. The LBMA Silver Price is used by the Trust because it is commonly used by the U.S. silver market as an indicator of the value of silver and is permitted to be used under the Trust Agreement. The use of an indicator of the value of silver bullion other than the LBMA Silver Price could result in materially different fair value pricing of the silver held by the Trust, and as such, could result in different cost or market adjustments or in different redemption value adjustments of the outstanding redeemable capital Shares. Having valued the silver held by the Trust, the Trustee then subtracts all accrued fees, expenses and other liabilities of the Trust from the total value of the silver held by the Trust and other assets held by the Trust. The result is the net asset value of the Trust. The Trustee computes NAV by dividing the net asset value of the Trust by the number of Shares outstanding on the date the computation is made.

 

Liquidity

 

The Trust is not aware of any trends, demands, conditions or events that are reasonably likely to result in material changes to its liquidity needs. In exchange for a fee, the Sponsor has agreed to assume most of the expenses incurred by the Trust. As a result, the only ordinary expense of the Trust during the period covered by this report was the Sponsor’s fee. The Trust’s only source of liquidity is its sales of silver.

 

Critical Accounting Policies

 

The financial statements and accompanying notes are prepared in accordance with generally accepted accounting principles in the United States of America. The preparation of these financial statements relies on estimates and assumptions that impact the Trust’s financial position and results of operations. These estimates and assumptions affect the Trust’s application of accounting policies. A description of the valuation of silver bullion, a critical accounting policy that the Trust believes is important to understanding its results of operations and financial position, is provided in the section entitled “Valuation of Silver Bullion; Computation of Net Asset Value” above. In addition, please refer to Note 2 to the financial statements included in this report for further discussion of the Trust’s accounting policies.

 

11
Table of Contents

 

Results of Operations

 

The Quarter Ended June 30, 2024

 

The Trust’s net asset value increased from $10,567,645,206 at March 31, 2024 to $12,842,620,288 at June 30, 2024, a 21.53% increase. The increase in the Trust’s net asset value resulted primarily from an increase in the price of silver, which grew 19.68% from $24.54 at March 31, 2024 to $29.37 at June 30, 2024. The increase in the Trust’s net asset value also benefitted from an increase in the number of outstanding Shares, which rose from 470,950,000 Shares at March 31, 2024 to 478,800,000 Shares at June 30, 2024, a consequence of 80,950,000 Shares (1,619 Baskets) being created and 73,100,000 Shares (1,462 Baskets) being redeemed during the quarter.

 

The 19.52% increase in the NAV from $22.44 at March 31, 2024 to $26.82 at June 30, 2024 is directly related to the 19.68% increase in the price of silver.

 

The NAV increased slightly less than the price of silver on a percentage basis due to the Sponsor’s fees, which were $15,254,121 for the quarter, or 0.12% of the Trust’s average weighted assets of $12,297,163,156 during the quarter. The NAV of $29.25 on May 29, 2024 was the highest during the quarter, compared with a low during the quarter of $22.44 on April 1, 2024.

 

Net increase in net assets resulting from operations for the quarter ended June 30, 2024 was $2,081,140,405, resulting from an unrealized gain on investment in silver bullion of $1,680,168,086, a net realized gain of $413,628,878 on silver bullion distributed for the redemption of Shares, and a net realized gain of $2,597,562 from investment in silver bullion sold to pay expenses, partially offset by a net investment loss of $15,254,121. Other than the Sponsor’s fees of $15,254,121, the Trust had no expenses during the quarter.

 

The Six-Month Period Ended June 30, 2024

 

The Trust’s net asset value increased from $10,389,177,775 at December 31, 2023 to $12,842,620,288 at June 30, 2024, a 23.62% increase. The increase in the Trust’s net asset value resulted primarily from an increase in the price of silver, which grew 23.46% from $23.79 at December 31, 2023 to $29.37 at June 30, 2024. The increase in the Trust’s net asset value also benefitted from an increase in the number of outstanding Shares, which rose from 477,000,000 Shares at December 31, 2023 to 478,800,000 Shares at June 30, 2024, a consequence of 141,800,000 Shares (2,836 Baskets) being created and 140,000,000 Shares (2,800 Baskets) being redeemed during the period.

 

The 23.14% increase in the NAV from $21.78 at December 31, 2023 to $26.82 at June 30, 2024 is directly related to the 23.46% increase in the price of silver.

 

The NAV increased slightly less than the price of silver on a percentage basis due to the Sponsor’s fees, which were $27,792,119 for the period, or 0.25% of the Trust’s average weighted assets of $11,192,054,382 during the period. The NAV of $29.25 on May 29, 2024 was the highest during the period, compared with a low during the period of $20.21 on February 14, 2024.

 

Net increase in net assets resulting from operations for the six months ended June 30, 2024 was $2,377,561,236, resulting from an unrealized gain on investment in silver bullion of $1,906,382,706, a net realized gain of $495,778,681 on silver bullion distributed for the redemption of Shares, and a net realized gain of $3,191,968 from investment in silver bullion sold to pay expenses, partially offset by a net investment loss of $27,792,119. Other than the Sponsor’s fees of $27,792,119, the Trust had no expenses during the period.

 

 

Item 3. Quantitative and Qualitative Disclosures About Market Risk.

 

Not applicable.

 

 

Item 4. Controls and Procedures.

 

The duly authorized officers of the Sponsor performing functions equivalent to those a principal executive officer and principal financial officer of the Trust would perform if the Trust had any officers, with the participation of the Trustee, have evaluated the effectiveness of the Trust’s disclosure controls and procedures, and have concluded that the disclosure controls and procedures of the Trust were effective as of the end of the period covered by this report to provide reasonable assurance that information required to be disclosed in the reports that the Trust files or submits under the Securities Exchange Act of 1934, as amended, is recorded, processed, summarized and reported, within the time periods specified in the applicable rules and forms, and that it is accumulated and communicated to the duly authorized officers of the Sponsor performing functions equivalent to those a principal executive officer and principal financial officer of the Trust would perform if the Trust had any officers, as appropriate to allow timely decisions regarding required disclosure.

 

There are inherent limitations to the effectiveness of any system of disclosure controls and procedures, including the possibility of human error and the circumvention or overriding of the controls and procedures.

 

There were no changes in the Trust’s internal control over financial reporting that occurred during the period covered by this report that have materially affected, or are reasonably likely to materially affect, the Trust’s internal control over financial reporting.

 

12
Table of Contents

 

PART II – OTHER INFORMATION

 

Item 1. Legal Proceedings.

 

None.

 

 

Item 1A. Risk Factors

 

There have been no material changes to the Risk Factors last reported under Part I, Item 1A of the registrant’s Annual Report on Form 10-K for the year ended December 31, 2023, filed with the Securities and Exchange Commission on February 20, 2024.

 

 

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

 

a) None.

 

b) Not applicable.

 

c) 73,100,000 Shares (1,462 Baskets) were redeemed during the quarter ended June 30, 2024.

 

Period

  

Total Number of Shares
Redeemed

    

Average Ounces of
Silver Paid Per Share

  

04/01/24 to 04/30/24

     42,200,000     $  0.9142  

05/01/24 to 05/31/24

     20,450,000       0.9138  

06/01/24 to 06/30/24

     10,450,000       0.9134  

Total

     73,100,000     $  0.9140  

 

 

Item 3. Defaults Upon Senior Securities

 

None.

 

 

Item 4. Mine Safety Disclosures.

 

Not applicable.

 

 

 

Item 5. Other Information.

 

Not applicable.

 

13
Table of Contents
 
 

Item 6. Exhibits

 

Exhibit No.

  

Description

4.1

    

Third Amended and Restated Depositary Trust Agreement is incorporated by reference to Exhibit 4.1 of the Current Report on Form 8-K filed by the Registrant on January 31, 2022
       

4.2

    

Standard Terms for Authorized Participant Agreements is incorporated by reference to Exhibit 4.2 of the Current Report on Form 8-K filed by the Registrant on December 22, 2016
       

10.1

    

First Amended and Restated Custodian Agreement between The Bank of New York Mellon and JPMorgan Chase Bank N.A., London branch is incorporated by reference to Exhibit 10.1 of the Current Report on Form 8-K filed by the Registrant on December 22, 2016
       

10.2

    

Amendment Agreement to First Amended and Restated Custodian Agreement between The Bank of New York Mellon and JPMorgan Chase Bank N.A., London branch is incorporated by reference to Exhibit 10.2 of Registration Statement No. 333-239613 filed by the Registrant on July 1, 2020
       

10.3

    

Sub-license Agreement is incorporated by reference to Exhibit 10.2 of Registration Statement No. 333-156506 filed by the Registrant on December 30, 2008
       

31.1*

    

Certification by Principal Executive Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
       

31.2*

    

Certification by Principal Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
       

32.1*

    

Certification by Principal Executive Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes‑Oxley Act of 2002
       

32.2*

    

Certification by Principal Financial Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes‑Oxley Act of 2002

 

101.INS*

  

Inline XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.
     

101.SCH*

  

Inline XBRL Taxonomy Extension Schema Document
     

101.CAL*

  

Inline XBRL Taxonomy Extension Calculation Linkbase Document
     

101.DEF*

  

Inline XBRL Taxonomy Extension Definition Linkbase Document
     

101.LAB*

  

Inline XBRL Taxonomy Extension Label Linkbase Document
     

101.PRE*

  

Inline XBRL Taxonomy Extension Presentation Linkbase Document
     

104

  

Cover Page Interactive Data File included as Exhibit 101 (embedded within the Inline XBRL document)

 

*    Filed herewith

  

14
Table of Contents

 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned in the capacities* indicated thereunto duly authorized.

 

iShares Delaware Trust Sponsor LLC,
Sponsor of the iShares Silver Trust (registrant)

 

/s/ Shannon Ghia

Shannon Ghia
Director, President and Chief Executive Officer
(Principal executive officer)

 

Date: August 8, 2024

 

 

/s/ Bryan Bowers

Bryan Bowers
Director and Chief Financial Officer
(Principal financial and accounting officer)

 

Date: August 8, 2024

 

*    The registrant is a trust and the persons are signing in their respective capacities as officers of iShares Delaware Trust Sponsor LLC, the Sponsor of the registrant.

  

15

Exhibit 31.1

 

CERTIFICATION

 

I, Shannon Ghia, certify that:

 

 

1.

I have reviewed this report on Form 10-Q of iShares Silver Trust;

 

 

2.

Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

 

 

3.

Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

 

 

4.

The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d‑15(f)) for the registrant and have:

 

 

a)

Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
 

b)

Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
 

c)

Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
 

d)

Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

 

 

5.

The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

 

 

a)

All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize, and report financial information; and
 

b)

Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

 

Date: August 8, 2024

 

/s/ Shannon Ghia

Shannon Ghia*
Director, President and Chief Executive Officer
(Principal executive officer)

  

*    The registrant is a trust and Ms. Ghia is signing in her capacity as an officer of iShares Delaware Trust Sponsor LLC, the Sponsor of the registrant.

 

 

Exhibit 31.2

 

CERTIFICATION

 

I, Bryan Bowers, certify that:

 

 

1.

I have reviewed this report on Form 10-Q of iShares Silver Trust;

 

 

2.

Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

 

 

3.

Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

 

 

4.

The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d‑15(f)) for the registrant and have:

 

 

a)

Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
 

b)

Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
 

c)

Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
 

d)

Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

 

 

5.

The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

 

 

a)

All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize, and report financial information; and
 

b)

Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

 

Date: August 8, 2024

 

/s/ Bryan Bowers

Bryan Bowers*
Director and Chief Financial Officer
(Principal financial and accounting officer)

  

*    The registrant is a trust and Mr. Bowers is signing in his capacity as an officer of iShares Delaware Trust Sponsor LLC, the Sponsor of the registrant.

 

 

Exhibit 32.1

 

Certification Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

 

In connection with the Quarterly Report of iShares Silver Trust (the “Trust”) on Form 10-Q for the period ended June 30, 2024 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Shannon Ghia, Chief Executive Officer of iShares Delaware Trust Sponsor LLC, the Sponsor of the Trust, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

 

 

1.

The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

 

 

2.

The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Trust.

 

It is not intended that this statement be deemed to be filed for purposes of the Securities Exchange Act of 1934.

 

Date: August 8, 2024

 

/s/ Shannon Ghia

Shannon Ghia*
Director, President and Chief Executive Officer
(Principal executive officer)

  

*    The registrant is a trust and Ms. Ghia is signing in her capacity as an officer of iShares Delaware Trust Sponsor LLC, the Sponsor of the registrant.

 

 

Exhibit 32.2

 

Certification Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

 

In connection with the Quarterly Report of iShares Silver Trust (the “Trust”) on Form 10-Q for the period ended June 30, 2024 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Bryan Bowers, Chief Financial Officer of iShares Delaware Trust Sponsor LLC, the Sponsor of the Trust, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

 

 

1.

The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

 

 

2.

The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Trust.

 

It is not intended that this statement be deemed to be filed for purposes of the Securities Exchange Act of 1934.

 

Date: August 8, 2024

 

/s/ Bryan Bowers

Bryan Bowers*
Director and Chief Financial Officer
(Principal financial and accounting officer)

  

*    The registrant is a trust and Mr. Bowers is signing in his capacity as an officer of iShares Delaware Trust Sponsor LLC, the Sponsor of the registrant.

 

 
v3.24.2.u1
Document And Entity Information - shares
 6 Months Ended
Jun. 30, 2024
Jul. 31, 2024
Document Information [Line Items]    
Entity Central Index Key 0001330568  
Entity Registrant Name iShares Silver Trust  
Amendment Flag false  
Current Fiscal Year End Date --12-31  
Document Fiscal Period Focus Q2  
Document Fiscal Year Focus 2024  
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Jun. 30, 2024  
Document Transition Report false  
Entity File Number 001-32863  
Entity Incorporation, State or Country Code NY  
Entity Tax Identification Number 13-7474456  
Entity Address, Address Line One 400 Howard Street  
Entity Address, City or Town San Francisco  
Entity Address, State or Province CA  
Entity Address, Postal Zip Code 94105  
City Area Code 415  
Local Phone Number 670-2000  
Title of 12(b) Security Shares  
Trading Symbol SLV  
Security Exchange Name NYSEArca  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   506,550,000
v3.24.2.u1
Statements of Assets and Liabilities (Unaudited) - USD ($)
Jun. 30, 2024
Dec. 31, 2023
Assets    
Investment in silver bullion, at fair value [1] $ 12,847,843,825 $ 10,393,666,180
Total Assets 12,847,843,825 10,393,666,180
Liabilities    
Sponsor’s fees payable 5,223,537 4,488,405
Total Liabilities 5,223,537 4,488,405
Commitments and contingent liabilities (Note 6)
Net Assets $ 12,842,620,288 $ 10,389,177,775
Shares issued and outstanding (in shares) [2] 478,800,000 477,000,000
Net asset value per Share (Note 2C) (in dollars per share) $ 26.82 $ 21.78
[1] Cost of investment in silver bullion: $10,164,222,786 and $9,616,427,847, respectively.
[2] No par value, unlimited amount authorized.
v3.24.2.u1
Statements of Assets and Liabilities (Unaudited) (Parentheticals) - USD ($)
$ / shares in Thousands
Jun. 30, 2024
Dec. 31, 2023
Investment in silver bullion, cost $ 10,164,222,786 $ 9,616,427,847
Shares, par value (in dollars per share) $ 0 $ 0
Shares issued (in shares) 478,800,000 477,000,000
v3.24.2.u1
Statements of Operations (Unaudited) - USD ($)
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Expenses        
Sponsor's fees $ 15,254,121 $ 14,120,304 $ 27,792,119 $ 27,253,934
Total expenses 15,254,121 14,120,304 27,792,119 27,253,934
Net investment loss (15,254,121) (14,120,304) (27,792,119) (27,253,934)
Net Realized and Unrealized Gain (Loss)        
Silver bullion sold to pay expenses 2,597,562 1,318,757 3,191,968 2,094,798
Silver bullion distributed for the redemption of Shares 413,628,878 79,642,405 495,778,681 128,819,679
Net realized gain 416,226,440 80,961,162 498,970,649 130,914,477
Net change in unrealized appreciation/depreciation 1,680,168,086 (745,821,212) 1,906,382,706 (861,552,911)
Net realized and unrealized gain (loss) 2,096,394,526 (664,860,050) 2,405,353,355 (730,638,434)
Net increase (decrease) in net assets resulting from operations $ 2,081,140,405 $ (678,980,354) $ 2,377,561,236 $ (757,892,368)
Net increase (decrease) in net assets per Share (in dollars per share) [1] $ 4.45 $ (1.33) $ 5.06 $ (1.48)
[1] Net increase (decrease) in net assets per Share based on average shares outstanding during the period.
v3.24.2.u1
Statements of Changes in Net Assets (Unaudited) - USD ($)
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Mar. 31, 2024
Jun. 30, 2023
Mar. 31, 2023
Jun. 30, 2024
Jun. 30, 2023
Net Assets, Beginning of Period $ 10,567,645,206 $ 10,389,177,775 $ 11,076,935,913 $ 11,160,084,971 $ 10,389,177,775 $ 11,160,084,971
Operations:            
Net investment loss (15,254,121) (12,537,998) (14,120,304) (13,133,630) (27,792,119) (27,253,934)
Net realized gain 416,226,440 82,744,209 80,961,162 49,953,315 498,970,649 130,914,477
Net change in unrealized appreciation/depreciation 1,680,168,086 226,214,620 (745,821,212) (115,731,699) 1,906,382,706 (861,552,911)
Net increase (decrease) in net assets resulting from operations 2,081,140,405 296,420,831 (678,980,354) (78,912,014) 2,377,561,236 (757,892,368)
Capital Share Transactions:            
Contributions for Shares issued 2,115,572,235 1,314,477,812 868,097,632 1,316,358,763    
Distributions for Shares redeemed (1,921,737,558) (1,432,431,212) (751,430,827) (1,320,595,807)    
Net increase (decrease) in net assets from capital share transactions 193,834,677 (117,953,400) 116,666,805 (4,237,044)    
Increase (decrease) in net assets 2,274,975,082 178,467,431 (562,313,549) (83,149,058)    
Net Assets, End of Period $ 12,842,620,288 $ 10,567,645,206 $ 10,514,622,364 $ 11,076,935,913 $ 12,842,620,288 $ 10,514,622,364
Shares issued and redeemed            
Shares issued (in shares)         141,800,000 100,800,000
Shares redeemed (in shares)         (140,000,000) (97,500,000)
Net increase in Shares issued and outstanding (in shares)         1,800,000 3,300,000
v3.24.2.u1
Statements of Cash Flows (Unaudited) - USD ($)
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Mar. 31, 2024
Jun. 30, 2023
Mar. 31, 2023
Jun. 30, 2024
Jun. 30, 2023
Cash Flows from Operating Activities            
Proceeds from silver bullion sold to pay expenses         $ 27,056,987 $ 27,379,746
Expenses – Sponsor’s fees paid         (27,056,987) (27,379,746)
Net cash provided by (used in) operating activities         0 0
Increase (decrease) in cash         0 0
Cash, beginning of period   $ 0   $ 0 0 0
Cash, end of period $ 0   $ 0   0 0
Reconciliation of Net Increase (Decrease) in Net Assets Resulting from Operations to Net Cash Provided by (Used in) Operating Activities            
Net increase (decrease) in net assets resulting from operations 2,081,140,405 296,420,831 (678,980,354) (78,912,014) 2,377,561,236 (757,892,368)
Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided by (used in) operating activities:            
Proceeds from silver bullion sold to pay expenses         27,056,987 27,379,746
Net realized (gain) loss (416,226,440) (82,744,209) (80,961,162) (49,953,315) (498,970,649) (130,914,477)
Net change in unrealized appreciation/depreciation $ (1,680,168,086) $ (226,214,620) $ 745,821,212 $ 115,731,699 (1,906,382,706) 861,552,911
Change in operating assets and liabilities:            
Sponsor’s fees payable         735,132 (125,812)
Net cash provided by (used in) operating activities         0 0
Supplemental disclosure of non-cash information:            
Silver bullion contributed for Shares issued         3,430,050,047 2,184,456,395
Silver bullion distributed for Shares redeemed         $ (3,354,168,770) $ (2,072,026,634)
v3.24.2.u1
Schedules of Investments (Unaudited)
 6 Months Ended
Jun. 30, 2024
Notes to Financial Statements  
Schedule of Investments [Text Block]

iShares® Silver Trust

Schedules of Investments (Unaudited)

At June 30, 2024 and December 31, 2023

 

June 30, 2024

 

Description

 

Ounces

  

Cost

  

Fair Value

 

Silver bullion

  437,447,866  $10,164,222,786  $12,847,843,825 
             

Total Investments — 100.04%

          12,847,843,825 

Less Liabilities — (0.04)%

          (5,223,537)

Net Assets — 100.00%

         $12,842,620,288 

 

December 31, 2023

 

Description

 

Ounces

  

Cost

  

Fair Value

 

Silver bullion

  436,892,231  $9,616,427,847  $10,393,666,180 
             

Total Investments — 100.04%

          10,393,666,180 

Less Liabilities — (0.04)%

          (4,488,405)

Net Assets — 100.00%

         $10,389,177,775 

 

 

See notes to financial statements.

 
v3.24.2.u1
Note 1 - Organization
 6 Months Ended
Jun. 30, 2024
Notes to Financial Statements  
Business Description and Basis of Presentation [Text Block]

1 - Organization

 

The iShares Silver Trust (the “Trust”) was organized on April 21, 2006 as a New York trust. The trustee is The Bank of New York Mellon (the “Trustee”), which is responsible for the day-to-day administration of the Trust. The Trust’s sponsor is iShares Delaware Trust Sponsor LLC, a Delaware limited liability company (the “Sponsor”). The Trust is governed by the provisions of the Third Amended and Restated Depositary Trust Agreement (the “Trust Agreement”) executed by the Trustee and the Sponsor as of January 31, 2022. The Trust issues units of beneficial interest (“Shares”) representing fractional undivided beneficial interests in its net assets.

 

The Trust seeks to reflect generally the performance of the price of silver. The Trust seeks to reflect such performance before payment of the Trust’s expenses and liabilities. The Trust is designed to provide a vehicle for investors to make an investment similar to an investment in silver.

 

The accompanying unaudited financial statements were prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”) for interim financial information and with the instructions for Form 10-Q and the rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”). In the opinion of management, all material adjustments, consisting only of normal recurring adjustments considered necessary for a fair statement of the interim period financial statements, have been made. Interim period results are not necessarily indicative of results for a full-year period. These financial statements and the notes thereto should be read in conjunction with the Trust’s financial statements included in its Annual Report on Form 10-K for the year ended December 31, 2023, as filed with the SEC on February 20, 2024.

 

The Trust qualifies as an investment company solely for accounting purposes and not for any other purpose and follows the accounting and reporting guidance under the Financial Accounting Standards Board Accounting Standards Codification Topic 946, Financial Services - Investment Companies, but is not registered, and is not required to be registered, as an investment company under the Investment Company Act of 1940, as amended.
v3.24.2.u1
Note 2 - Significant Accounting Policies
 6 Months Ended
Jun. 30, 2024
Notes to Financial Statements  
Significant Accounting Policies [Text Block]

2 - Significant Accounting Policies

 

A.

Basis of Accounting

 

The following significant accounting policies are consistently followed by the Trust in the preparation of its financial statements in conformity with U.S. GAAP. The preparation of financial statements in conformity with U.S. GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.

 

B.

Silver Bullion

 

JPMorgan Chase Bank N.A., London branch (the “Custodian”), is responsible for the safekeeping of silver bullion owned by the Trust.

 

Fair value of the silver bullion held by the Trust is based on the price per ounce of silver determined in an electronic auction consisting of one or more 30‑second rounds hosted by ICE Benchmark Administration (“IBA”) that begins at 12:00 p.m. (London time) and published shortly thereafter on each day that the London silver market is open for business (such price, the “LBMA Silver Price”). If there is no announced LBMA Silver Price on any day, the Trustee is authorized to use the most recently announced LBMA Silver Price unless the Trustee, in consultation with the Sponsor, determines that such price is inappropriate as a basis for evaluation.

 

Gain or loss on sales of silver bullion is calculated on a trade date basis using the average cost method.

 

The following tables summarize activity in silver bullion for the three months ended June 30, 2024 and 2023:

 

Three Months Ended June 30, 2024

 

Ounces

  

Cost

  

Fair
Value

  

Realized
Gain (Loss)

 

Beginning balance

  430,806,891  $9,568,548,144  $10,572,001,097  $— 

Silver bullion contributed

  73,975,988   2,115,572,235   2,115,572,235   — 

Silver bullion distributed

  (66,811,439)  (1,508,108,680)  (1,921,737,558)  413,628,878 

Silver bullion sold to pay expenses

  (523,574)  (11,788,913)  (14,386,475)  2,597,562 

Net realized gain

  —   —   416,226,440   — 

Net change in unrealized appreciation/depreciation

  —   —   1,680,168,086   — 

Ending balance

  437,447,866  $10,164,222,786  $12,847,843,825  $416,226,440 

     

Three Months Ended June 30, 2023

 

Ounces

  

Cost

  

Fair
Value

  

Realized
Gain (loss)

 

Beginning balance

  463,942,222  $10,057,834,978  $11,081,259,981  $— 

Silver bullion contributed

  35,590,738   868,097,632   868,097,632   — 

Silver bullion distributed

  (30,812,468)  (671,788,422)  (751,430,827)  79,642,405 

Silver bullion sold to pay expenses

  (579,393)  (12,617,472)  (13,936,229)  1,318,757 

Net realized gain

  —   —   80,961,162   — 

Net change in unrealized appreciation/depreciation

  —   —   (745,821,212)  — 

Ending balance

  468,141,099  $10,241,526,716  $10,519,130,507  $80,961,162 

 

The following tables summarize activity in silver bullion for the six months ended June 30, 2024 and 2023:

 

Six Months Ended June 30, 2024

 

Ounces

  

Cost

  

Fair
Value

  

Realized
Gain (Loss)

 

Beginning balance

  436,892,231  $9,616,427,847  $10,393,666,180  $— 

Silver bullion contributed

  129,646,899   3,430,050,047   3,430,050,047   — 

Silver bullion distributed

  (128,019,703)  (2,858,390,089)  (3,354,168,770)  495,778,681 

Silver bullion sold to pay expenses

  (1,071,561)  (23,865,019)  (27,056,987)  3,191,968 

Net realized gain

  —   —   498,970,649   — 

Net change in unrealized appreciation/depreciation

  —   —   1,906,382,706   — 

Ending balance

  437,447,866  $10,164,222,786  $12,847,843,825  $498,970,649 

 

Six Months Ended June 30, 2023

 

Ounces

  

Cost

  

Fair
Value

  

Realized
Gain (Loss)

 

Beginning balance

  466,265,146  $10,025,562,224  $11,164,718,926  $— 

Silver bullion contributed

  92,652,599   2,184,456,395   2,184,456,395   — 

Silver bullion distributed

  (89,610,880)  (1,943,206,955)  (2,072,026,634)  128,819,679 

Silver bullion sold to pay expenses

  (1,165,766)  (25,284,948)  (27,379,746)  2,094,798 

Net realized gain

  —   —   130,914,477   — 

Net change in unrealized appreciation/depreciation

  —   —   (861,552,911)  — 

Ending balance

  468,141,099  $10,241,526,716  $10,519,130,507  $130,914,477 

 

C.

Calculation of Net Asset Value

 

On each business day, as soon as practicable after 4:00 p.m. (New York time), the net asset value of the Trust is obtained by subtracting all accrued fees, expenses and other liabilities of the Trust from the fair value of the silver and other assets held by the Trust. The Trustee computes the net asset value per Share by dividing the net asset value of the Trust by the number of Shares outstanding on the date the computation is made.

 

D.

Offering of the Shares

 

Shares are issued and redeemed continuously in aggregations of 50,000 Shares in exchange for silver bullion rather than cash. Individual investors cannot purchase or redeem Shares in direct transactions with the Trust. The Trust only transacts with registered broker-dealers that are eligible to settle securities transactions through the book-entry facilities of the Depository Trust Company and that have entered into a contractual arrangement with the Trustee and the Sponsor governing, among other matters, the creation and redemption of Shares (such broker-dealers, the “Authorized Participants”). Holders of Shares of the Trust may redeem their Shares at any time acting through an Authorized Participant and in the prescribed aggregations of 50,000 Shares; provided, that redemptions of Shares may be suspended during any period while regular trading on NYSE Arca, Inc. (“NYSE Arca”) is suspended or restricted, or in which an emergency exists as a result of which delivery, disposal or evaluation of silver is not reasonably practicable.

 

The per Share amount of silver exchanged for a purchase or redemption represents the per Share amount of silver held by the Trust, after giving effect to its liabilities.

 

When silver bullion is exchanged in settlement of a redemption, it is considered a sale of silver bullion for accounting purposes.

 

E.

Federal Income Taxes

 

The Trust is treated as a grantor trust for federal income tax purposes and, therefore, no provision for federal income taxes is required. Any interest, expenses, gains and losses are passed through to the holders of Shares of the Trust.

 

The Sponsor has analyzed applicable tax laws and regulations and their application to the Trust as of June 30, 2024 and does not believe that there are any uncertain tax positions that require recognition of a tax liability.
v3.24.2.u1
Note 3 - Trust Expenses
 6 Months Ended
Jun. 30, 2024
Notes to Financial Statements  
Trust Expenses [Text Block]

3 - Trust Expenses

 

The Sponsor’s fee is accrued daily at an annualized rate equal to 0.50% of the net asset value of the Trust, paid monthly in arrears. The Sponsor has agreed to assume the following administrative and marketing expenses incurred by the Trust: the Trustee’s fee and reimbursement for its reasonable out‑of‑pocket expenses, the Custodian’s fee, NYSE Arca listing fees, SEC registration fees, printing and mailing costs, audit fees and expenses, and up to $500,000 per annum in legal fees and expenses. The Sponsor may determine in its sole discretion to assume legal fees and expenses of the Trust in excess of the amount required under the Trust Agreement. To the extent that the Sponsor does not voluntarily assume such fees and expenses, they will be the responsibility of the Trust.
v3.24.2.u1
Note 4 - Related Parties
 6 Months Ended
Jun. 30, 2024
Notes to Financial Statements  
Related Party Transactions Disclosure [Text Block]

4 - Related Parties

 

The Sponsor and the Trustee are considered to be related parties to the Trust. The Trustee’s fee is paid by the Sponsor and is not a separate expense of the Trust.
v3.24.2.u1
Note 5 - Indemnification
 6 Months Ended
Jun. 30, 2024
Notes to Financial Statements  
Indemnification [Text Block]

5 - Indemnification

 

The Trust Agreement provides that the Trustee shall indemnify the Sponsor, its directors, employees and agents against, and hold each of them harmless from, any loss, liability, cost, expense or judgment (including reasonable fees and expenses of counsel) (i) caused by the negligence or bad faith of the Trustee or (ii) arising out of any information furnished in writing to the Sponsor by the Trustee expressly for use in the registration statement, or any amendment thereto or periodic or other report filed with the SEC relating to the Shares that is not materially altered by the Sponsor.

 

The Trust Agreement provides that the Sponsor and its shareholders, directors, officers, employees, affiliates (as such term is defined under the Securities Act of 1933, as amended) and subsidiaries shall be indemnified from the Trust and held harmless against any loss, liability or expense incurred without their (1) negligence, bad faith, willful misconduct or willful malfeasance arising out of or in connection with the performance of their obligations under the Trust Agreement or any actions taken in accordance with the provisions of the Trust Agreement or (2) reckless disregard of their obligations and duties under the Trust Agreement.

 

The Trust has agreed that the Custodian will only be responsible for any loss or damage suffered by the Trust as a direct result of the Custodian’s negligence, fraud or willful default in the performance of its duties.

 

The Trust’s maximum exposure under these arrangements is unknown because it involves future potential claims against the Trust, which cannot be predicted with any certainty.
v3.24.2.u1
Note 6 - Commitments and Contingent Liabilities
 6 Months Ended
Jun. 30, 2024
Notes to Financial Statements  
Commitments and Contingencies Disclosure [Text Block]

6 - Commitments and Contingent Liabilities

 

In the normal course of business, the Trust may enter into contracts with service providers that contain general indemnification clauses. The Trust’s maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Trust, which cannot be predicted with any certainty.
v3.24.2.u1
Note 7 - Concentration Risk
 6 Months Ended
Jun. 30, 2024
Notes to Financial Statements  
Concentration Risk Disclosure [Text Block]

7 - Concentration Risk

 

Substantially all of the Trust’s assets are holdings of silver bullion, which creates a concentration risk associated with fluctuations in the price of silver. Accordingly, a decline in the price of silver will have an adverse effect on the value of the Shares of the Trust. Factors that may have the effect of causing a decline in the price of silver include a change in economic conditions (such as a recession); a significant increase in the hedging activities of silver producers; significant changes in the attitude of speculators, investors and other market participants towards silver; global silver supply and demand; global or regional political, economic or financial events and situations; investors’ expectations with respect to the rate of inflation; interest rates; investment and trading activities of hedge funds and commodity funds; other economic variables such as income growth, economic output, and monetary policies; and investor confidence.

 
v3.24.2.u1
Note 8 - Financial Highlights
 6 Months Ended
Jun. 30, 2024
Notes to Financial Statements  
Financial Highlights [Text Block]

8 - Financial Highlights

 

The following financial highlights relate to investment performance and operations for a Share outstanding for the three and six months ended June 30, 2024 and 2023.

 

  

Three Months Ended
June 30,

  

Six Months Ended
June 30,

 
  

2024

  

2023

  

2024

  

2023

 

Net asset value per Share, beginning of period

 $22.44  $21.95  $21.78  $22.03 
                 

Net investment loss(a)

  (0.03)  (0.03)  (0.06)  (0.05)

Net realized and unrealized gain (loss)(b)

  4.41   (1.30)  5.10   (1.36)

Net increase (decrease) in net assets from operations

  4.38   (1.33)  5.04   (1.41)

Net asset value per Share, end of period

 $26.82  $20.62  $26.82  $20.62 
                 

Total return, at net asset value(c)(d)

  19.52%  (6.06)%  23.14%  (6.40)%
                 

Ratio to average net assets:

                

Net investment loss(e)

  (0.50)%  (0.50)%  (0.50)%  (0.50)%

Expenses(e)

  0.50%  0.50%  0.50%  0.50%

 

(a) 

Based on average Shares outstanding during the period.

(b) 

The amounts reported for a Share outstanding may not accord with the change in aggregate gains and losses on investment for the period due to the timing of Share transactions in relation to the fluctuating fair values of the Trust’s underlying investment.

(c) 

Based on the change in net asset value of a Share during the period.

(d) 

Percentage is not annualized.

(e) 

Percentage is annualized.

 
v3.24.2.u1
Note 9 - Investment Valuation
 6 Months Ended
Jun. 30, 2024
Notes to Financial Statements  
Fair Value Disclosures [Text Block]

9 - Investment Valuation

 

U.S. GAAP defines fair value as the price the Trust would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. The Trust’s policy is to value its investment at fair value.

 

Various inputs are used in determining the fair value of assets and liabilities. Inputs may be based on independent market data (“observable inputs”) or they may be internally developed (“unobservable inputs”). These inputs are categorized into a disclosure hierarchy consisting of three broad levels for financial reporting purposes. The level of a value determined for an asset or liability within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement in its entirety. The three levels of the fair value hierarchy are as follows:

 

 

Level 1  − 

Unadjusted quoted prices in active markets for identical assets or liabilities;

 

 

Level 2  − 

Inputs other than quoted prices included within Level 1 that are observable for the asset or liability either directly or indirectly, including quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not considered to be active, inputs other than quoted prices that are observable for the asset or liability, and inputs that are derived principally from or corroborated by observable market data by correlation or other means; and

 

 

Level 3  − 

Unobservable inputs that are unobservable for the asset or liability, including the Trust’s assumptions used in determining the fair value of investments.

 

At June 30, 2024 and December 31, 2023, the value of the silver bullion held by the Trust is categorized as Level 1.

 
v3.24.2.u1
Insider Trading Arrangements
 6 Months Ended
Jun. 30, 2024
Insider Trading Arr Line Items  
Material Terms of Trading Arrangement [Text Block]

Item 5. Other Information.

 

Not applicable.

 
Rule 10b5-1 Arrangement Adopted [Flag] false
Non-Rule 10b5-1 Arrangement Adopted [Flag] false
Rule 10b5-1 Arrangement Terminated [Flag] false
Non-Rule 10b5-1 Arrangement Terminated [Flag] false
v3.24.2.u1
Significant Accounting Policies (Policies)
 6 Months Ended
Jun. 30, 2024
Accounting Policies [Abstract]  
Basis of Accounting, Policy [Policy Text Block]

A.

Basis of Accounting

 

The following significant accounting policies are consistently followed by the Trust in the preparation of its financial statements in conformity with U.S. GAAP. The preparation of financial statements in conformity with U.S. GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.

 
Investment, Policy [Policy Text Block]

B.

Silver Bullion

 

JPMorgan Chase Bank N.A., London branch (the “Custodian”), is responsible for the safekeeping of silver bullion owned by the Trust.

 

Fair value of the silver bullion held by the Trust is based on the price per ounce of silver determined in an electronic auction consisting of one or more 30‑second rounds hosted by ICE Benchmark Administration (“IBA”) that begins at 12:00 p.m. (London time) and published shortly thereafter on each day that the London silver market is open for business (such price, the “LBMA Silver Price”). If there is no announced LBMA Silver Price on any day, the Trustee is authorized to use the most recently announced LBMA Silver Price unless the Trustee, in consultation with the Sponsor, determines that such price is inappropriate as a basis for evaluation.

 

Gain or loss on sales of silver bullion is calculated on a trade date basis using the average cost method.

 

The following tables summarize activity in silver bullion for the three months ended June 30, 2024 and 2023:

 

Three Months Ended June 30, 2024

 

Ounces

  

Cost

  

Fair
Value

  

Realized
Gain (Loss)

 

Beginning balance

  430,806,891  $9,568,548,144  $10,572,001,097  $— 

Silver bullion contributed

  73,975,988   2,115,572,235   2,115,572,235   — 

Silver bullion distributed

  (66,811,439)  (1,508,108,680)  (1,921,737,558)  413,628,878 

Silver bullion sold to pay expenses

  (523,574)  (11,788,913)  (14,386,475)  2,597,562 

Net realized gain

  —   —   416,226,440   — 

Net change in unrealized appreciation/depreciation

  —   —   1,680,168,086   — 

Ending balance

  437,447,866  $10,164,222,786  $12,847,843,825  $416,226,440 

     

Three Months Ended June 30, 2023

 

Ounces

  

Cost

  

Fair
Value

  

Realized
Gain (loss)

 

Beginning balance

  463,942,222  $10,057,834,978  $11,081,259,981  $— 

Silver bullion contributed

  35,590,738   868,097,632   868,097,632   — 

Silver bullion distributed

  (30,812,468)  (671,788,422)  (751,430,827)  79,642,405 

Silver bullion sold to pay expenses

  (579,393)  (12,617,472)  (13,936,229)  1,318,757 

Net realized gain

  —   —   80,961,162   — 

Net change in unrealized appreciation/depreciation

  —   —   (745,821,212)  — 

Ending balance

  468,141,099  $10,241,526,716  $10,519,130,507  $80,961,162 

 

The following tables summarize activity in silver bullion for the six months ended June 30, 2024 and 2023:

 

Six Months Ended June 30, 2024

 

Ounces

  

Cost

  

Fair
Value

  

Realized
Gain (Loss)

 

Beginning balance

  436,892,231  $9,616,427,847  $10,393,666,180  $— 

Silver bullion contributed

  129,646,899   3,430,050,047   3,430,050,047   — 

Silver bullion distributed

  (128,019,703)  (2,858,390,089)  (3,354,168,770)  495,778,681 

Silver bullion sold to pay expenses

  (1,071,561)  (23,865,019)  (27,056,987)  3,191,968 

Net realized gain

  —   —   498,970,649   — 

Net change in unrealized appreciation/depreciation

  —   —   1,906,382,706   — 

Ending balance

  437,447,866  $10,164,222,786  $12,847,843,825  $498,970,649 

 

Six Months Ended June 30, 2023

 

Ounces

  

Cost

  

Fair
Value

  

Realized
Gain (Loss)

 

Beginning balance

  466,265,146  $10,025,562,224  $11,164,718,926  $— 

Silver bullion contributed

  92,652,599   2,184,456,395   2,184,456,395   — 

Silver bullion distributed

  (89,610,880)  (1,943,206,955)  (2,072,026,634)  128,819,679 

Silver bullion sold to pay expenses

  (1,165,766)  (25,284,948)  (27,379,746)  2,094,798 

Net realized gain

  —   —   130,914,477   — 

Net change in unrealized appreciation/depreciation

  —   —   (861,552,911)  — 

Ending balance

  468,141,099  $10,241,526,716  $10,519,130,507  $130,914,477 

 
Calculation of Net Asset Value [Policy Text Block]

C.

Calculation of Net Asset Value

 

On each business day, as soon as practicable after 4:00 p.m. (New York time), the net asset value of the Trust is obtained by subtracting all accrued fees, expenses and other liabilities of the Trust from the fair value of the silver and other assets held by the Trust. The Trustee computes the net asset value per Share by dividing the net asset value of the Trust by the number of Shares outstanding on the date the computation is made.

 
Offering of the Shares [Policy Text Block]

D.

Offering of the Shares

 

Shares are issued and redeemed continuously in aggregations of 50,000 Shares in exchange for silver bullion rather than cash. Individual investors cannot purchase or redeem Shares in direct transactions with the Trust. The Trust only transacts with registered broker-dealers that are eligible to settle securities transactions through the book-entry facilities of the Depository Trust Company and that have entered into a contractual arrangement with the Trustee and the Sponsor governing, among other matters, the creation and redemption of Shares (such broker-dealers, the “Authorized Participants”). Holders of Shares of the Trust may redeem their Shares at any time acting through an Authorized Participant and in the prescribed aggregations of 50,000 Shares; provided, that redemptions of Shares may be suspended during any period while regular trading on NYSE Arca, Inc. (“NYSE Arca”) is suspended or restricted, or in which an emergency exists as a result of which delivery, disposal or evaluation of silver is not reasonably practicable.

 

The per Share amount of silver exchanged for a purchase or redemption represents the per Share amount of silver held by the Trust, after giving effect to its liabilities.

 

When silver bullion is exchanged in settlement of a redemption, it is considered a sale of silver bullion for accounting purposes.

 
Income Tax, Policy [Policy Text Block]

E.

Federal Income Taxes

 

The Trust is treated as a grantor trust for federal income tax purposes and, therefore, no provision for federal income taxes is required. Any interest, expenses, gains and losses are passed through to the holders of Shares of the Trust.

 

The Sponsor has analyzed applicable tax laws and regulations and their application to the Trust as of June 30, 2024 and does not believe that there are any uncertain tax positions that require recognition of a tax liability.
v3.24.2.u1
Schedules of Investments (Unaudited) (Tables)
 6 Months Ended
Jun. 30, 2024
Notes Tables  
Investment [Table Text Block]

Description

 

Ounces

  

Cost

  

Fair Value

 

Silver bullion

  437,447,866  $10,164,222,786  $12,847,843,825 
             

Total Investments — 100.04%

          12,847,843,825 

Less Liabilities — (0.04)%

          (5,223,537)

Net Assets — 100.00%

         $12,842,620,288 

Description

 

Ounces

  

Cost

  

Fair Value

 

Silver bullion

  436,892,231  $9,616,427,847  $10,393,666,180 
             

Total Investments — 100.04%

          10,393,666,180 

Less Liabilities — (0.04)%

          (4,488,405)

Net Assets — 100.00%

         $10,389,177,775 
v3.24.2.u1
Note 2 - Significant Accounting Policies (Tables)
 6 Months Ended
Jun. 30, 2024
Notes Tables  
Activity in Silver Bullion [Table Text Block]

Three Months Ended June 30, 2024

 

Ounces

  

Cost

  

Fair
Value

  

Realized
Gain (Loss)

 

Beginning balance

  430,806,891  $9,568,548,144  $10,572,001,097  $— 

Silver bullion contributed

  73,975,988   2,115,572,235   2,115,572,235   — 

Silver bullion distributed

  (66,811,439)  (1,508,108,680)  (1,921,737,558)  413,628,878 

Silver bullion sold to pay expenses

  (523,574)  (11,788,913)  (14,386,475)  2,597,562 

Net realized gain

  —   —   416,226,440   — 

Net change in unrealized appreciation/depreciation

  —   —   1,680,168,086   — 

Ending balance

  437,447,866  $10,164,222,786  $12,847,843,825  $416,226,440 

Three Months Ended June 30, 2023

 

Ounces

  

Cost

  

Fair
Value

  

Realized
Gain (loss)

 

Beginning balance

  463,942,222  $10,057,834,978  $11,081,259,981  $— 

Silver bullion contributed

  35,590,738   868,097,632   868,097,632   — 

Silver bullion distributed

  (30,812,468)  (671,788,422)  (751,430,827)  79,642,405 

Silver bullion sold to pay expenses

  (579,393)  (12,617,472)  (13,936,229)  1,318,757 

Net realized gain

  —   —   80,961,162   — 

Net change in unrealized appreciation/depreciation

  —   —   (745,821,212)  — 

Ending balance

  468,141,099  $10,241,526,716  $10,519,130,507  $80,961,162 

Six Months Ended June 30, 2024

 

Ounces

  

Cost

  

Fair
Value

  

Realized
Gain (Loss)

 

Beginning balance

  436,892,231  $9,616,427,847  $10,393,666,180  $— 

Silver bullion contributed

  129,646,899   3,430,050,047   3,430,050,047   — 

Silver bullion distributed

  (128,019,703)  (2,858,390,089)  (3,354,168,770)  495,778,681 

Silver bullion sold to pay expenses

  (1,071,561)  (23,865,019)  (27,056,987)  3,191,968 

Net realized gain

  —   —   498,970,649   — 

Net change in unrealized appreciation/depreciation

  —   —   1,906,382,706   — 

Ending balance

  437,447,866  $10,164,222,786  $12,847,843,825  $498,970,649 

Six Months Ended June 30, 2023

 

Ounces

  

Cost

  

Fair
Value

  

Realized
Gain (Loss)

 

Beginning balance

  466,265,146  $10,025,562,224  $11,164,718,926  $— 

Silver bullion contributed

  92,652,599   2,184,456,395   2,184,456,395   — 

Silver bullion distributed

  (89,610,880)  (1,943,206,955)  (2,072,026,634)  128,819,679 

Silver bullion sold to pay expenses

  (1,165,766)  (25,284,948)  (27,379,746)  2,094,798 

Net realized gain

  —   —   130,914,477   — 

Net change in unrealized appreciation/depreciation

  —   —   (861,552,911)  — 

Ending balance

  468,141,099  $10,241,526,716  $10,519,130,507  $130,914,477 
v3.24.2.u1
Note 8 - Financial Highlights (Tables)
 6 Months Ended
Jun. 30, 2024
Notes Tables  
Financial Highlights [Table Text Block]
  

Three Months Ended
June 30,

  

Six Months Ended
June 30,

 
  

2024

  

2023

  

2024

  

2023

 

Net asset value per Share, beginning of period

 $22.44  $21.95  $21.78  $22.03 
                 

Net investment loss(a)

  (0.03)  (0.03)  (0.06)  (0.05)

Net realized and unrealized gain (loss)(b)

  4.41   (1.30)  5.10   (1.36)

Net increase (decrease) in net assets from operations

  4.38   (1.33)  5.04   (1.41)

Net asset value per Share, end of period

 $26.82  $20.62  $26.82  $20.62 
                 

Total return, at net asset value(c)(d)

  19.52%  (6.06)%  23.14%  (6.40)%
                 

Ratio to average net assets:

                

Net investment loss(e)

  (0.50)%  (0.50)%  (0.50)%  (0.50)%

Expenses(e)

  0.50%  0.50%  0.50%  0.50%
v3.24.2.u1
Schedules of Investments (Unaudited) - Investments (Details)
Jun. 30, 2024
USD ($)
oz
Mar. 31, 2024
USD ($)
oz
Dec. 31, 2023
USD ($)
oz
Jun. 30, 2023
USD ($)
oz
Mar. 31, 2023
USD ($)
oz
Dec. 31, 2022
USD ($)
oz
Silver bullion (Ounce) | oz 437,447,866 430,806,891 436,892,231 468,141,099 463,942,222 466,265,146
Investment in silver bullion, cost $ 10,164,222,786 $ 9,568,548,144 $ 9,616,427,847 $ 10,241,526,716 $ 10,057,834,978 $ 10,025,562,224
Silver bullion fair value 12,847,843,825   10,393,666,180      
Less Liabilities (5,223,537)   (4,488,405)      
Net Assets $ 12,842,620,288 $ 10,567,645,206 $ 10,389,177,775 $ 10,514,622,364 $ 11,076,935,913 $ 11,160,084,971
v3.24.2.u1
Schedules of Investments (Unaudited) - Investments (Details) (Parentheticals)
Jun. 30, 2024
Dec. 31, 2023
Total investment, percentage of net asset value 100.04% 100.04%
Less liabilities, percentage of net asset value (0.04%) (0.04%)
Net assets, percentage of net asset value 100.00% 100.00%
v3.24.2.u1
Note 2 - Significant Accounting Policies (Details Textual)
Jun. 30, 2024
shares
Shares Prescribed Aggregation (in shares) 50,000
v3.24.2.u1
Note 2 - Significant Accounting Policies - Activity in Silver Bullion (Details)
 3 Months Ended 6 Months Ended
Jun. 30, 2024
USD ($)
oz
Mar. 31, 2024
USD ($)
oz
Jun. 30, 2023
USD ($)
oz
Mar. 31, 2023
USD ($)
oz
Jun. 30, 2024
USD ($)
oz
Jun. 30, 2023
USD ($)
oz
Beginning balance (Ounce) | oz 430,806,891 436,892,231 463,942,222 466,265,146 436,892,231 466,265,146
Beginning balance, average cost $ 9,568,548,144 $ 9,616,427,847 $ 10,057,834,978 $ 10,025,562,224 $ 9,616,427,847 $ 10,025,562,224
Beginning balance, fair value $ 10,572,001,097 10,393,666,180 [1] $ 11,081,259,981 11,164,718,926 $ 10,393,666,180 [1] $ 11,164,718,926
Silver bullion contributed (Ounce) | oz 73,975,988   35,590,738   129,646,899 92,652,599
Silver bullion contributed, average cost $ 2,115,572,235   $ 868,097,632   $ 3,430,050,047 $ 2,184,456,395
Silver bullion contributed, fair value $ 2,115,572,235   $ 868,097,632   $ 3,430,050,047 $ 2,184,456,395
Silver bullion distributed (Ounce) | oz (66,811,439)   (30,812,468)   (128,019,703) (89,610,880)
Silver bullion distributed, average cost $ (1,508,108,680)   $ (671,788,422)   $ (2,858,390,089) $ (1,943,206,955)
Silver bullion distributed, fair value (1,921,737,558)   (751,430,827)   (3,354,168,770) (2,072,026,634)
Silver bullion distributed, realized gain (loss) $ 413,628,878   $ 79,642,405   $ 495,778,681 $ 128,819,679
Silver bullion sold to pay expenses (Ounce) | oz (523,574)   (579,393)   (1,071,561) (1,165,766)
Silver bullion sold to pay expenses, average cost $ (11,788,913)   $ (12,617,472)   $ (23,865,019) $ (25,284,948)
Silver bullion sold to pay expenses, fair value (14,386,475)   (13,936,229)   (27,056,987) (27,379,746)
Silver bullion sold to pay expenses, realized gain (loss) 2,597,562   1,318,757   3,191,968 2,094,798
Net realized gain (loss), fair value 416,226,440 82,744,209 80,961,162 49,953,315 498,970,649 130,914,477
Net change in unrealized appreciation/depreciation, fair value $ 1,680,168,086 $ 226,214,620 $ (745,821,212) $ (115,731,699) $ 1,906,382,706 $ (861,552,911)
Ending balance (Ounce) | oz 437,447,866 430,806,891 468,141,099 463,942,222 437,447,866 468,141,099
Ending balance, average cost $ 10,164,222,786 $ 9,568,548,144 $ 10,241,526,716 $ 10,057,834,978 $ 10,164,222,786 $ 10,241,526,716
Ending balance, fair value 12,847,843,825 [1] 10,572,001,097 10,519,130,507 11,081,259,981 12,847,843,825 [1] 10,519,130,507
Ending balance, realized gain (loss) $ 416,226,440 $ 82,744,209 $ 80,961,162 $ 49,953,315 $ 498,970,649 $ 130,914,477
[1] Cost of investment in silver bullion: $10,164,222,786 and $9,616,427,847, respectively.
v3.24.2.u1
Note 3 - Trust Expenses (Details Textual)
 6 Months Ended
Jun. 30, 2024
USD ($)
Sponsor's Fee Annualized Accrual Rate Based on Daily Net Asset Value 0.50%
Maximum [Member]  
Legal Fees Per Year $ 500,000
v3.24.2.u1
Note 8 - Financial Highlights - Financial Highlights (Details) - $ / shares
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Net asset value per Share, beginning of period (in dollars per share) $ 22.44 $ 21.95 $ 21.78 $ 22.03
Net investment loss (in dollars per share) [1] (0.03) (0.03) (0.06) (0.05)
Net realized and unrealized gain (loss) (in dollars per share) [2] 4.41 (1.3) 5.1 (1.36)
Net increase (decrease) in net assets from operations (in dollars per share) 4.38 (1.33) 5.04 (1.41)
Net asset value per Share, end of period (in dollars per share) $ 26.82 $ 20.62 $ 26.82 $ 20.62
Total return, at net asset value [3],[4] 19.52% (6.06%) 23.14% (6.40%)
Ratio to average net assets:        
Net investment loss [5] (0.50%) (0.50%) (0.50%) (0.50%)
Expenses [5] 0.50% 0.50% 0.50% 0.50%
[1] Based on average Shares outstanding during the period.
[2] The amounts reported for a Share outstanding may not accord with the change in aggregate gains and losses on investment for the period due to the timing of Share transactions in relation to the fluctuating fair values of the Trust’s underlying investment.
[3] Based on the change in net asset value of a Share during the period.
[4] Percentage is not annualized.
[5] Percentage is annualized.
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