New Delhi: The fourth tranche of Gold Sovereign Gold Bonds opened to subscribe on Monday.
The price of the problem for the Sovereign Gold Bond Scheme 2021-22 has been set at Rs 4,807 per gram of gold, said the Indian Reserve Bank (RBI) on Friday.
“The nominal value of the bond …
works to 4807 per gram gold,” said RBI.
Here are the main things that need to be known about the scheme: * Government, in consultation with the RBI, also provides a discount of Rs 50 per gram to investors who implement online and payments to applications made through digital mode.
* The fourth tranche will be closed to subscribe on July 16.
* Investors can bid at least 1 GM of gold at Rs 4,807 against Rs 4,889 per GM in the previous tranche.
* Previously, the government has announced that it will issue Gold Sovereign (SGB) bonds in six stages from May 2021 to September 2021.
RBI will issue bonds on behalf of the Indian government.
* Bonds will be sold through banks (except small bank financing and payment banks), Holding Corporation of India Limited (Shil), the designated post office, and the exchange of shares recognized Viz, India Stock Exchange limited and BSE.
* As many as Rs 25,702 Crore has been appointed through the SGB scheme until the end of March 2021 from the start.
* Reserve bank has published 12 tranches SGB for the aggregate amount of RS 16,049 Crore (32.35 tons) for 2020-21.
* This scheme was launched in November 2015 with the aim of reducing demand for physical gold and shifting parts of domestic savings – used for purchasing yellow metals – become financial savings.
* Bond prices are repaired in Indian rupees based on a simple average 999 gold closing price, published by bullion associations and Indian jewelry limited to the last three working days in the subscription period.
* Bonds are recognized in multiples of grams of gold with a basic unit of 1 gram.
The tenor of the bond is for a period of 8 years with the outgoing option after the 5th year must be done on the next interest payment date.
* The minimum investment permitted is 1 gram of gold.
The subscription maximum limit is 4 kg for individuals, 4 kg for Hindu families that are not divided (HUF) and 20 kg for trust and similar entities per fiscal (april-march).
* Norma Know-Your-Your-Your (KYC) is the same as the purchase of physical gold.
(With input from agency)