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Soverign Gold Bond

 
 
 

The Bonds will be restricted for sale to resident individuals, HUFs, Trusts, Universities and Charitable Institutions.

‘CC’ accounts shall not be allowed / populated for ‘Debit Account number’ and ‘Interest Credit account’ fields. NRI Customers are not permitted to invest in Sovereign Gold Bond.

 

Minimum permissible investment will be 1 gram of gold.

The maximum limit of subscription shall be 4 KG for individual, 4 Kg for HUF and 20 Kg for trusts and similar entities per fiscal (April-March) notified by the Government from time to time. A self-declaration to this effect will be obtained. The annual ceiling will include bonds subscribed under different tranches during initial issuance by Government and those purchased from the Secondary Market.

The Bonds will be denominated in multiples of gram(s) of gold with a basic unit of 1 gram.

 

The tenor of the Bond will be for a period of 8 years with exit option after 5th year to be exercised on the interest payment dates.

 

Price of Bond will be fixed in Indian Rupees on the basis of simple average of closing price of gold of 999 purity, published by the India Bullion and Jewellers Association Limited for the last 3 working days of the week preceding the subscription period.

The issue price of the Gold Bonds will be ` 50 per gram less for those who subscribe online and pay through digital mode.

Price of SGB is declared by RBI one day prior to launch

 

Payment for the Bonds will be through cash payment (upto a maximum of ` 20,000) or demand draft or cheque or electronic banking.