Saturday, March 2, 2024
HomeFinance & InvestingBusinessDiscount For Online Investors, Sovereign Gold Bond Price Fixed, Issue Opens On...

Discount For Online Investors, Sovereign Gold Bond Price Fixed, Issue Opens On Feb 12, Check Details – News18

SGB Feb 2024 Series: Know Your Customer (KYC) norms will be the same as those for purchasing physical gold. (Representative image)

The issue price of the next tranche of Sovereign Gold Bond, opening for subscription for five days from Monday, has been fixed.

Sovereign Gold Bond Issue Price: The issue price of the next tranche of Sovereign Gold Bond, opening for subscription for five days from Monday, has been fixed at Rs 6,263 per gram, the Reserve Bank said in a statement on Friday.

The Reserve Bank of India issues the bonds on behalf of the Government of India.

“The nominal value of the bond … works out to Rs 6,263 per gram of gold,” the central bank said.

Sovereign Gold Bond Feb 2024 

Sovereign Gold Bond Opening Date: The Sovereign Gold Bond Scheme 2023-24 – Series IV will be open for subscription from February 12–16, 2024.

How To Buy Sovereign Gold Bond?

The SGBs will be sold through scheduled commercial banks (except small finance banks, payment banks and regional rural banks), Stock Holding Corporation of India Limited (SHCIL), Clearing Corporation of India Limited (CCIL), designated post offices, National Stock Exchange of India Limited and Bombay Stock Exchange Limited.

Sovereign Gold Bond Discount By RBI

The Government of India, in consultation with the Reserve Bank, has decided to offer a discount of Rs 50 per gram less than the nominal value to those investors applying online and making the payment against the application through digital mode.

For such investors, the issue price of Gold Bond will be Rs 6,213, the RBI said.

Know Your Customer (KYC) norms will be the same as those for purchasing physical gold.

How Sovereign Gold Bond Price Is Calculated?

The price of SGB is fixed in Indian rupees based on the simple average closing price of gold of 999 purity, published by the India Bullion and Jewellers Association Limited (IBJA) for the last three working days of the week preceding the subscription period.

Sovereign Gold Bond Interest Rate

The investors are compensated at a fixed rate of 2.50 per cent per annum payable semi-annually on the nominal value.

Maximum Limit Under Sovereign Gold Bond Scheme

The maximum subscription limit is 4 kg for individuals, 4 kg for HUF and 20 kg for trusts and similar entities per fiscal year.

Sovereign Gold Bond Tenure

The tenure of the SGB will be eight years with an option of premature redemption after 5th year to be exercised on the date on which interest is payable.

The bonds can be used as collateral for loans.

Purpose Of Sovereign Gold Bond Scheme

The sovereign gold bond scheme was launched in November 2015 to reduce the demand for physical gold and shift a part of the domestic savings — used for purchasing gold — into financial savings.

Disclaimer: The views and investment tips by experts in this News18.com report are their own and not those of the website or its management. Readers are advised to check with certified experts before making any investment decisions.

Views: 0
Amit Ghosh
Amit Ghoshhttps://serpways.com
MYSELF AMIT GOSH. I AM A PROFESSIONAL BLOGGER AND RESEARCHER.
RELATED ARTICLES

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Most Popular

Recent Comments