A sharp decline in silver prices has prompted Hank Smith, CIO of Haverford Trust, to warn that precious metals are behaving like meme stocks rather than safe-haven investments. Silver tumbled 31% from its high of $114 to $80, while gold dropped nearly 13% from its late January peak despite both commodities posting strong gains over the past year.

Smith argues that the recent run-up in precious metals is driven by momentum rather than fundamentals, telling Business Insider that commodities are "speculations" not investments since they lack earnings, dividends, or balance sheets. He suggests investors focus instead on dividend-paying stocks for yield, particularly as the stock market shows occasional signs of stress.

For investors seeking yield through exchange-traded funds, the article recommends two strategies: the Schwab U.S. Dividend Equity ETF (SCHD) with $78.5 billion in assets and a 3.5% yield, and the J.P. Morgan Nasdaq Equity Premium Income ETF (JEPQ) offering a 10.3% yield through a covered call strategy. While silver's recent volatility raises questions about its role in diversified portfolios, the broader debate centers on whether commodities can deliver sustainable returns compared to income-generating equities.