Important news for gold investorsThe Government of India has started issuing Sovereign Gold Bonds 2017-18 (Series-III). Applications for the bond are being accepted from October 09, 2017 to December 27, 2017. The bonds are being issued on the succeeding Monday after each subscription period. Some of the important highlights of the Sovereign Gold Bonds are mentioned below:-
(a) Issued by: The bonds are issued by Reserve Bank India on behalf of Government of India.
(b) Who are eligible to purchase: The bonds can be purchased by resident Indian entities including individuals, HUFs, trusts, universities and charitable institutions.
(c) Denomination: The bonds will be sold in multiples of gram(s) of gold with a basic unit of 1 gram.
(d) Minimum limit: Minimum permissible investment will be 1 gram of gold.
(e) Maximum limit: The maximum limit will be 4 KG for individual investors.
(f) How to make payment: Payment can be made by cash (maximum of Rs. 20,000/-) or by demand draft or by cheque or by electronic banking.
(g) Interest rate: Fixed rate of 2.50% per annum payable semi-annually on the nominal value.
(h) KYC documentation: Required (AADHAR Card and PAN Card).
(i) Whether can be converted to Demat form: Yes, the bonds can be converted in Demat form.
Interested investors may apply for this gold bond as early as possible. This scheme will benefit those investors who want to invest in gold but don't like to keep gold in physical form. Please note that applications will be accepted until 27th December 2017.