WHERE TO BUY SOVEREIGN GOLD BONDS IN INDIA? Gold has been peoples’ favorite investment preference in India since ages. The majority of the people steer to splurge their money in buying gold because of its highly liquid nature. There are different ways to invest in gold other than just buying directly. For starters, you can invest in gold through sovereign gold bonds. Keep reading to know the concept of Sovereign Bonds in detail.
What are Sovereign Gold Bonds (SGBs)? There are many low-risk appetite investment avenues in the market, and Sovereign Gold Bonds is one of them. This investment avenue was launched and publicized in November 2015 as a better substitute for gold. If you have any thoughts to invest in gold, you can go via this financial instrument. These bonds are offered to the public by the Reserve bank of India at the behest of the Government of India. This asset class is perfect for conservative investors and medium-risk takers. Investing in sovereign bonds costs you much lower when compared to the manual purchase of gold. The RBI announces new SGB series for people to buy yearly. If you have failed to take the last opportunity, sit tight till the government presents the next tranche. You can buy sovereign gold bonds online as well as offline. Check also- Tax free bonds for Senior Citizens and what are tax saving bonds
4 Places To Buy Sovereign Gold Bonds in India The exchange value of sovereign gold bonds stemmed from the underlying gram gold of 999 purity. You can buy sovereign gold bonds online and offline based on your budget and convenience. Here’s the list of places to buy them.
RBI Retail Direct: Investors can buy sovereign gold bonds on this official platform, established and supervised by RBI and the Govt. of India. New retail direct investors can buy this avenue directly on the portal itself. The
basic investment volume starts from one gram, whereas the maximum volume can be 4 kg for individuals, 4 kg for Hindu Undivided Family, and 20 kg for trusts. However, the price of sovereign gold bonds relies on the market, as gold is the underlying asset to this avenue. The investor earns 2.50 per cent interest on this bond. The gained amount is sent to the bank account half-yearly. To buy sovereign gold bonds on this portal, visit here. Online Bond Platforms: Bond markets took the high road by integrating with the technology, establishing online portals, and making the buying process effortless. Now, you can buy sovereign gold bonds online without a hitch. You don’t even require a demat account to buy these bonds. If you have already purchased offline, you can dematerialize them after allotment. Check out this bond platform to buy sovereign gold bonds online - click here. Secondary Market: Investors can also subscribe to sovereign gold bonds in India in the secondary market. You can see these bonds listed and trading on various stock exchanges. So, interested investors can directly buy this asset class over-the-counter in the secondary market, or buy and sell them through the demat account. Know also- what are zero coupon bonds, government bonds, corporate bonds, tax free bonds, g-sec strips. Other Offline Places: Banks and post offices are two other offline places investors can buy sovereign gold bonds. People who don’t have a demat account can opt for this route to add this avenue to your portfolio. Now, if you choose to buy sovereign gold bonds online, you’ll be given a discount of Rs. 50 per gram. This is a strategy used by the Government of India to promote online buying of gold.