District Daily News

Series IV Sovereign Gold Bond Subscription Opens on February 12

<p><strong>Delhi, New:</strong> Beginning on February 12, investors wishing to take advantage of the advantages of Sovereign Gold Bonds (SGBs) will have the opportunity to subscribe to the most recent tranche, Series IV of 2023–2024. The issue is slated on February 21, 2024, and the subscription window will be available for five days, ending on February 16.</p>
<p><img decoding=”async” class=”alignnone wp-image-395612″ src=”https://www.theindiaprint.com/wp-content/uploads/2024/02/theindiaprint.com-series-iv-sovereign-gold-bond-subscription-opens-on-february-12-gold-coin-et-oline.jpg” alt=”theindiaprint.com series iv sovereign gold bond subscription opens on february 12 gold coin et oline” width=”1157″ height=”868″ title=”Series IV Sovereign Gold Bond Subscription Opens on February 12 3″ srcset=”https://www.theindiaprint.com/wp-content/uploads/2024/02/theindiaprint.com-series-iv-sovereign-gold-bond-subscription-opens-on-february-12-gold-coin-et-oline.jpg 600w, https://www.theindiaprint.com/wp-content/uploads/2024/02/theindiaprint.com-series-iv-sovereign-gold-bond-subscription-opens-on-february-12-gold-coin-et-oline-150×113.jpg 150w” sizes=”(max-width: 1157px) 100vw, 1157px” /></p>
<p><strong>Prospective Investment</strong><br />
A distinctive approach to invest in gold is provided by the Indian government’s 2015 introduction of Sovereign Gold Bonds.</p>
<p>These bonds, which are recognized as Government of India Stock under the Government Securities Act, 2006, provide investors a competitive yearly interest rate of 2.5 percent. The bonds are credited to investors’ accounts semi-annually, with the final interest payment being made at maturity.</p>
<p><strong>Investment Specifics And Benefits</strong><br />
SGBs have a maximum subscription limit of 4 kg and a minimum investment requirement of 1 gram, both expressed in grams of gold. Following the fifth year, on the day of interest payment, investors have the option of early redemption.</p>
<p>Crucially, these bonds have no redemption taxes when they mature, which makes them a desirable choice for long-term savers.</p>
<p><strong>Assessment</strong><br />
SGBs are available for purchase via a number of channels, including as stock exchanges, specified post offices, and scheduled commercial banks.</p>
<p>The average closing price of 999 pure gold over the three working days prior to the subscription period is used to value SGBs. An additional discount of Rs 50 per gram is available for online subscriptions paid for digitally.</p>
<p><strong>Returns:</strong> The historical performance of SGBs shows promise; the first series, which was issued in 2015 and will mature at the end of 2023, will provide returns of 12.9% annually.</p>
<p>By contrast, during the previous two decades, the yellow metal has returned an average of 11.2 percent. The February 8, 2024, maturity date of SGBs issued on February 8, 2016 (SGB 2016-I) is scheduled.</p>