Sovereign Gold Bond: Investors investing in Sovereign Gold Bond (SGB) 2017-18 Series-VII had made huge profits. This bond matured on November 13, 2025. According to information received from media reports, investors got an excellent return of about 321 percent on this bond.
According to the announcement of the final redemption price, the Reserve Bank of India (RBI) had fixed the final redemption price at Rs 12,350 per gram. Investors had invested at around Rs 2,934 per gram.
What is Sovereign Gold Bond?
Sovereign Gold Bond is an investment certificate issued by the Reserve Bank of India (RBI). Under this, there is no physical investment in gold. In Sovereign Gold Bond, you buy gold through a certificate from the government. Which makes it a safe and convenient option.
With the rise in the market, the price of your gold also keeps increasing. Therefore investors see it as a stable and profitable investment. Also, due to the recognition from the Government of India, its reliability and security increases manifold.
Due to the additional interest received on investment, investors place their trust in sovereign gold bonds instead of physical gold. You do not get interest on physical gold investment. The interest amount is given to investors by RBI at regular intervals.
Lock in period and interest rate
The lock-in period of gold bond investment is 8 years. However, you can select the early return option after 5 years, but only under certain circumstances. Also, due to the fixed interest rate, many investors do not like to invest in gold bonds. Besides, the price of gold also depends on the market. Due to which there is expectation of ups and downs.
Disclaimer: (The information provided here is being given for information only. It is important to mention here that investment in the market is subject to market risks. Always take expert advice before investing money as an investor. ABPLive.com never advises anyone to invest money here.)
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