The key aspects of the Sovereign Gold Bond Scheme 2023-24 and discuss why it is an excellent choice for both seasoned and novice investors.

1. SOVEREIGN GOLD
BOND SCHEME
An Attractive
Investment Opportunity

2. Scheme Overview
• Launched by the Government
of India in 2015
• Shifts investment from
physical gold to financial
savings
• Bonds denominated in grams
of gold

3. Key Features and Benefits
Safety and Security - Backed by the
Government of India
Attractive Returns - Linked to gold
price with annual interest rate of
2.5%
Tax Benefits - Exemption on capital
gains at maturity, indexation benefits
on interest income
Liquidity and Tradability - Tradable
on stock exchanges
Collateral - Can be used as loan
collateral

4. Subscription and Investment
Details
Investment Limits - Minimum 1
gram, maximum 4 kilograms per
fiscal year (higher limits for
trusts)
Tax Treatment - No capital
gains tax on redemption,
indexation benefits on long-
term capital gains
Payment Options - Cash, demand
draft, cheque, or electronic
banking

5. Risks Associated with SGBs
Market Risk - Fluctuations
in gold price
Interest Rate Risk - Value
may decline if interest
rates rise
Inflation Risk - Value may
increase with inflation

6. Conclusion
Lucrative investment opportunity for
exposure to gold
Safety, attractive returns, tax
advantages, and liquidity
Diversify portfolio and protect wealth
Consult financial advisors before
investing

7. THANK YOU
To know more, visit: https://goldenpi.com/blog/essentials/bond-market/difference-between-
corporate-and-governments-bonds/