What are Sovereign Gold Bonds | How to Download Sovereign Gold Bond Certificate | Sovereign Gold Bond Online Purchase
Investing in gold has never been easier, safer, or more secure than it is now, thanks to the Government of India’s Sovereign Gold Bond Scheme. You can receive a guaranteed yearly interest rate of 2.5 percent by investing in these bonds, which eliminates the risks connected with actual gold. In India, gold is a traditional sign of wealth. It represents money, and no status symbol is more powerful than gold. As a result, gold in India is more than just an investment opportunity. In this article, we will explain How to Download Sovereign Gold Bond Certificate
You can acquire gold in a variety of methods, but SGBs are the ideal way to buy and store gold.
What are Sovereign Gold Bonds, and how do they work? What is the procedure for purchasing Sovereign Gold Bonds? Where can I get SGBs? What are the advantages of purchasing a sovereign gold bond? What is the Gold Bond Rate of the RBI? Read the article to know the answers to all these questions.
Table of Contents
What are Sovereign Gold Bonds & How do they work?
Government securities are known as SGBs. SGBs are gold-backed securities that can be used to replace physical gold. Their worth is measured in gold grams. The Reserve Bank of India is selling these bonds in tranches on behalf of the Indian government.
You must pay the issue price in cash to purchase the bond. At the time of maturity, your bond will be redeemed in cash at the current market value of gold. You’ll also get a guaranteed interest rate of 2.5 percent per year.
Series VI RBI Sovereign Gold Bond Scheme 2021-22
Subscriptions for the SGB Scheme 2021-22 – Series VI shall be accepted from 30thof August to3rd September 2021. The price of a gram of gold in a Sovereign Gold Bond has been set at Rs.4, 732 (Rupees Four Thousand Seven Hundred Thirty-Two only).
Investors who apply online and pay via digital channels will receive a discount of Rs.50 per gram on the issue value. The bond’s issue price for such investors would be Rs.4, 682 per gram of gold. After the subscription period has ended, the SGB bonds will be issued on September 7, 2021.
Major Benefits of Sovereign Gold Bonds
Sovereign Gold Bonds has several advantages.
1. They are the safest option to buy and keep gold. It provides a way to gain exposure to gold without having to hold it physically. As a result, there is no risk and no storage cost.
2. You can get a guaranteed annual interest rate of 2.5 percent on your investment (no compounding of interest). The investor’s bank account will be credited with interest every six months.
3. Investors are guaranteed the market value of gold at maturity.
4. When you transfer bonds before they mature, you will receive indexation benefits. On redemption, there is no capital gains tax.
5. SGB bonds will be available for trading on stock exchanges on a specified date set by the RBI.
6. SGBs can be used as security for secured loans.
7. You only pay for the purest kind of gold, 24-carat pure gold, when you buy an RBI gold bond.
SGBs: Six Golden Reasons to Invest
“Planning to invest in gold? Here are Six golden reasons to invest in Sovereign Gold Bonds,” according to a tweet from SBI Bank.
Sovereign Gold Bonds will have the following features:
1. They will be denominated in multiples of gram(s) of gold. 1 gram is the most basic unit.
2. A gram of gold will be the minimum investment in SGB.
3. The maximum subscription limit for individuals and HUF is 4 kilograms. The maximum limit for trusts and similar entities is 20 kilograms.
4. The bond’s tenor is eight years. You do, however, have the option to exit the bond after the fifth year. This option is only available on interest payment dates.
5. You have the option of paying in cash (up to Rs.20,000), check, demand draft, or electronic banking.
6. Both Demat and paper versions of the bonds will be offered.
7. On the amount of the initial investment, the investors will receive 2.50 percent annual interest. The interest is paid every six months.
8. You must adhere to the same KYC requirements as when purchasing actual gold. PAN or TAN, voter ID card, Aadhaar card, or passport would be required as part of the KYC process.
9. The bonds will be redeemed in Indian Rupees when they reach maturity. The redemption price shall be calculated by the average of the closing prices of gold (of 999 pure) over the previous 3 working days.
10. When an SGB is redeemed by an individual, there is no capital gains tax. When you transfer bonds, you will receive indexation benefits.
Return of 73% in last 6 years
The first Sovereign Gold Bond, which was issued in 2015-16, was priced at Rs.2684 per gram of gold. The price has dropped to Rs.2634 after a markdown of Rs.50 per gram of gold. The current Sovereign Gold Bond series’ pricing has been set at Rs.4732 per gram of gold. This pricing has been reduced to Rs.4682 after an Rs.50 rebate. In this fashion, the SGB program has provided a 73 percent return over the last six years.
What are the requirements for investing in SGBs?
Indians who are Individuals, HUFs, trusts, charitable institutions, and colleges are all entitled to invest in SGB. You can also invest in a joint account with another person or on behalf of a young child. Investors who have changed their residency status from resident to NRI may keep their bonds till they are redeemed or mature early.
What are the best places to acquire Sovereign Gold Bonds?
SGBs can be purchased directly or through agents using the means listed below.
1. Scheduled Commercial Banks: The bonds are sold by 21 public sector banks, 21 private banks, and 44 foreign banks on the list.
2. Stock Holding Corporation of India Limited (SHCIL).
3. Post Offices that have been designated: On the list, there are 810 post offices that sell these bonds.
Application forms are available from issuing banks, designated post offices, SHCIL offices, and agents. It’s also available to download from the RBI’s website.
How do I purchase Sovereign Gold Bonds via Internet?
SGBs can be purchased online through most banks’ internet banking or through a Demat account.
- First of all go to the SBI website https://www.onlinesbi.com/
2. Enter your username and password to access the SBI Net Banking portal.
3. From the main menu, select the “e-Services” tab after logging in.
4. To apply for the bonds, select “Sovereign Gold Bond Scheme”
5. You must register yourself here.
6. Click the “Proceed” tab after accepting the terms and conditions.
7. To complete registration, fill out the form and click the “Submit” tab.
8. Fill out the purchase form and submit it to purchase an SBI Sovereign Gold Bond.
You’ve completed the task! During the announced tranche, SBI Gold Bonds are available online from 8:00 a.m. to 8:00 p.m.
It is quite simple and quick to purchase Sovereign Gold Bonds online through banks. Furthermore, if you apply for the SGB online and pay using a digital mode, you will receive an additional reduction of Rs.50 per gram on the issue price.
How to Download Sovereign Gold Bond Certificate
You can obtain a copy of your SBG bond by visiting the bank’s website where you purchased it. Simply go to the bank’s website and enter your username and password. Select the investment choice, then SGB bonds. Download Sovereign Gold Bond Certificate by selecting the “Download Past Certificate” option. d.
The screenshot of IndusInd bank’s Sovereign Gold Bond Certificate Download is shown above.
Sovereign Gold Bond Scheme 2021-22 Schedule
In collaboration with the RBI (Reserve Bank of India), the Indian government has agreed to issue Sovereign Gold Bonds. From May to September 2021, Sovereign Gold Bonds (SGBs) will be issued every month. The bonds will be issued according to the schedule below:
|Tranche||Date of Subscription||Date of Issuance|
|2021-22 Series I||May 17-21, 2021||25-May-21|
|2021-22 Series II||May 24–28, 2021||1-Jun-21|
|2021-22 Series III||May 31 – June 04, 2021||8-Jun-21|
|2021-22 Series IV||July 12-16, 2021||20-Jul-21|
|2021-22 Series V||August 09-13, 2021||17-Aug-21|
|2021-22 Series VI||Aug. 30 – Sept. 03, 2021||7-Sep-20|
Subscriptions for the Sovereign Gold Bond Scheme 2021-22 – Series VI shall be accepted from 30th of August till3rd September, 2021. The price of the SGB gold bond has been set at Rs.4, 732 (Rupees Four Thousand Seven Hundred Thirty-two only) per gram, with a settlement date of September 7, 2021.
The government of India, in agreement with the Reserve Bank of India, has decided to offer an extra discount of Rs.50 per gram on the issue price to those investors who apply online and pay via the digital channel. The bond’s issue price will be Rs.4, 682 per gram of gold for such investors.
About Sovereign Gold Bond Returns
The SGB scheme’s returns will be determined by the current market value of gold at maturity or at the time of premature withdrawal. This method allows you to diversify your portfolio by including gold without really owning it. You can also receive a 2.5 percent yearly interest rate on your investment.
In simple terms, owning gold and getting guaranteed interest on your investment is what Sovereign Gold Bonds are all about. This is the only gold-linked investment that pays a guaranteed return.
Frequently Asked Questions (FAQs)
SGB’s are regarded as secure. They are meant to be used as a replacement for physical gold. Their worth is measured in gold grams. The Reserve Bank of India (RBI) is selling SGBs in tranches on behalf of the Indian government.
The Sovereign Gold Bond’s issuing price has been set at Rs.4,732 per gram of gold.
Yes, we can download Sovereign Gold Bond Certificate online.
SGB applications are accepted both online and offline. You can apply online through mentioned banks’ internet banking, SHCIL, and other brokers’ Demat accounts.
The Gold Bonds will be redeemed in Indian Rupees when they reach maturity. The redemption price will be determined by averaging the closing price of 999 pure gold over the previous three business days prior to the repayment date.