On Monday, August 9, 2021, the fifth tranche of the government-run sovereign gold bond scheme 2021-22 opens for the subscription. According to the Reserve Bank of India's schedule for the gold bond program 2021-22, the fifth tranche window will be open for investors from August 9 to August 13, for a five-day period (RBI).
Due to its broad use, gold is one of the most in-demand precious metals, and market demand remains reasonably stable despite market fluctuations and global economic circumstances. As a result, unsystematic risks of irregular swings in gold's intrinsic value are negligible, allowing an investment portfolio to grow exponentially over time.
During the subscription period, the issuance price of the Bond would be Rs 4,790 per gram, as announced by RBI in a press release dated August 6, 2021. Gold bonds that pay interest are a popular way to buy yellow metal in a non-physical form.
The Government of India, in collaboration with the Reserve Bank of India, has agreed to give investors who apply online and pay via digital channel a discount of Rs 50 per gram off the issuance price. The issue price of a Gold Bond for such investors will be Rs 4,740 per gram of gold.
Gold bonds are investments that are connected to the price of gold on the open market and provide additional returns on investment. The government-run gold bond plan is open to residents, Hindu Undivided Families trusts, universities, and charity groups.
The price of SGB in the fifth tranche has been set at Rs 4790/gm. Non-physical gold investments, such as digital or paper gold, are highly recommended since they give great liquidity, have no storage costs, and are easier to sell than actual gold.
Gold prices have weakened in recent weeks, reaching a one-month low. It has lost almost Rs 1,000/10gm in value in the last week alone.