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The first half of 2025 has been marked by heightened volatility and uncertainty triggered by the new administration’s trade policies. The S&P 500 achieved an all-time high on Feb. 19 and then dropped sharply into striking distance of a bear market on April 8. Stocks have bounced back strongly over the past month.

With just a week away to end the first half, the S&P 500 is just less than 3% below its peak, while the Nasdaq Composite index sits 3.4% from its all-time high. The Dow Jones Industrial Average is barely in the green for the year. 

As the gains were broad-based, we have presented a bunch of top-performing ETFs from various corners of the market that are at the forefront of the market rally in the first half of 2025.

These are Sprott Gold Miners ETF (SGDM - Free Report), iShares MSCI Global Silver and Metals Miners ETF (SLVP - Free Report), Global X Defense Tech ETF (SHLD - Free Report), Global X Uranium ETF (URA - Free Report), and AdvisorShares Psychedelics ETF (PSIL - Free Report).

First-Half Market Recap

Trump’s aggressive policy led to steep sell-offs in the stock market during the first half. After bottoming out on April 8, Wall Street made an impressive comeback driven by optimism over trade talks, corporate earnings growth, easing inflation, and momentum in artificial intelligence. Most of the surge came from the technology sector. After months of turbulence, the Magnificent Seven stocks roared back in the latest market rally.

The economic indicators paint a stable picture for economic growth. Americans have started to feel optimistic about the economy, as the initial shock from steep tariffs begins to wear off and inflation pressure eases. U.S. consumer sentiment climbed in June for the first time in six months, offering a glimmer of optimism amid lingering policy uncertainty. 

The U.S. jobs market also remained resilient with the economy adding 139,000 jobs in May, and the unemployment rate remaining unchanged at 4.2%. Inflation has been cooling. The Consumer Price Index rose just 0.1% year-over-year in May, putting the annual inflation rate at 2.4%. Inflation declined from April’s 0.2% increase. Core inflation, which strips out volatile food and energy prices, was 2.8%, flat year-over-year, well below its levels in 2022 and 2023. Monthly core prices increased just 0.1%, against expectations of a 0.3% gain. 

However, the escalation in geopolitical tensions following the Israel-Iran strike last week is once again weighing on investors' sentiment. Further, the markets are grappling with uncertainty surrounding Trump’s trade policies and the outlook for U.S. interest rates. This volatility has led to a spike in defensive assets like gold and silver.

ETFs in Focus

Here is a brief look at the previously-mentioned ETFs to consider.

Sprott Gold Miners ETF (SGDM - Free Report) – Up 65.2%

Sprott Gold Miners ETF follows the Solactive Gold Miners Custom Factors Index, which aims to track the performance of larger-sized gold companies whose stocks are listed on Canadian and major U.S. exchanges. It holds 35 stocks in its basket, with Canadian firms taking the top spot at 75.2%, followed by 17.6% in the United States.

The ETF has amassed $418.6 million in its asset base, and it trades in a lower volume of around 42,000 shares a day. It charges 50 bps in annual fees from investors. 

iShares MSCI Global Silver and Metals Miners ETF (SLVP - Free Report) – Up 56.2%

iShares MSCI Global Silver and Metals Miners ETF follows the MSCI ACWI Select Silver Miners Investable Market Index, providing investors exposure to 30 companies that derive the majority of their revenues from silver exploration or metals mining.

The ETF has an AUM of $322.1 million and an average daily volume of about 145,000 shares. It charges 39 bps in annual fees.

Global X Defense Tech ETF (SHLD - Free Report) – Up 56%

With AUM of $2.7 billion, Global X Defense Tech ETF seeks to invest in companies positioned to benefit from the increased adoption and utilization of defense technology. It tracks the Global X Defense Tech Index and holds 42 stocks in its basket. The ETF charges 50 bps in annual fees, and it trades in an average daily volume of 1.1 million shares.

Global X Uranium ETF (URA - Free Report) – Up 41%

Global X Uranium ETF provides investors access to a broad range of companies involved in uranium mining and the production of nuclear components, including those in extraction, refining, exploration, or manufacturing of equipment for the uranium and nuclear industries.

It tracks the Solactive Global Uranium & Nuclear Components Total Return Index and holds 48 stocks in its basket. Canadian firms make up the largest allocation in the basket at 38.2% while the United States accounts for a 20.8% share. The ETF has amassed $3.7 billion in its asset base, and it charges 69 bps in annual fees. It trades in an average daily volume of 4.5 million shares.

AdvisorShares Psychedelics ETF (PSIL - Free Report) – Up 39.2%

AdvisorShares Psychedelics ETF invests in the emerging psychedelic drugs sector, offering exposure to biotechnology, pharmaceutical, and life sciences companies that it sees as leading the way in this nascent industry.

It is an actively managed fund, and it holds 24 stocks in its basket. The ETF has accumulated $10.8 million in its asset base, and it charges 99 bps in annual fees. It trades in an average daily volume of 11,000 shares.

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