Planning to invest in gold in the upcoming festival season? You can do it right now despite gold price hitting all-time high. This you can do by purchasing paper gold that has been made available by the Reserve Bank of India (RBI). The central bank has issued Sovereign Gold Bond 2019-20 Series III at price of Rs 3,499 per gram (Rs 3,449 per gram if purchased online). The current issue of SGB, which opened on August 5, 2019, will close on August 14, 2019. 

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In a statement last week, Finance Ministry had said, "Government of India in consultation with the Reserve Bank of India has decided to allow discount of Rs 50 (Rupees Fifty only) per gram from the issue price to those investors who apply online and the payment is made through digital mode. For such investors the issue price of Gold Bond will be Rs 3,449 (Rupees Three Thousand Four Hundred Forty Nine only) per gram of gold."

How much you can save?

The current price of gold in the market is hovering around Rs 38,000 per 10 gram. If you buy 10 units of SGB (which will be equivalent to 10 gram of gold), then you can easily save over Rs 3000. Here's a calculation:

Price per unit of SGB on offer is Rs 3499. 
Price of 10 SGB units = 10 x3499 = Rs 34,990.
Current market price of Gold = Rs 38,000 (approx). 
Your savings = Rs 38,000 - Rs 34,990 = Rs 3010. 

Other benefits!

You can not just save in terms of money by opting for gold investment via SGB but also get some more benefits than buying physical gold. 

SGBs also offers an interest rate of 2.50 per cent per annum. RBI says, "The investors will be compensated at a fixed rate of 2.50 per cent per annum payable semi-annually on the nominal value."

So, you can even make an earning on your gold investment, which you can't in case of idle physical gold at your home. 

Besides, you won't have to worry about storage of gold. 

Where to buy SGB?

According to RBI official website, the SGBs are "sold through Commercial banks, Stock Holding Corporation of India Limited (SHCIL), designated post offices (as may be notified) and recognised stock exchanges viz., National Stock Exchange of India Limited and Bombay Stock Exchange, either directly or through agents."