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Gold - The Hedge for bad times

Sovereign Gold Bond Benefits

Hassle free: Ownership of gold without any physical possession (No risks and no cost of storage)

Tax treatment: The capital gains tax arising on redemption of SGB to an individual has been exempted. The indexation benefits will be provided to long term capital gains arising to any person on transfer of bond.

Tradability: Bonds will be tradable on stock exchanges within a fortnight of the issuance on a date as notified by the RBI.

Transferability: Bonds shall be transferable by execution of an Instrument of transfer in accordance with the provisions of the Government Securities Act.

Sovereign Gold Bond Features

Eligibility: The bonds will be restricted for sale to resident Indian entities including individuals, HUFs, Trusts, Universities and Charitable institutions. For online application through ICICI Bank, the bonds are for sale to only ‘individuals’ through the Internet Banking Channel and iMobile App. Customers falling into other category of investors may however approach the branch and fill-up the application form to apply for the tranche.

Denomination: The bonds will be denominated in units of one gram of gold and multiples thereof.

Minimum size: Minimum permissible investment will be 1 gram of gold.

Maximum limit: Maximum limit of subscription shall be of 4 kg for individuals, 4 kg for Hindu Undivided Family (HUF) and 20 kg for trusts and similar entities notified by the government from time to time

Interest rate: The investors will be paid Interest on the amount of initial investment at the rate notified by RBI for a particular tranche at the time of its launch and is payable semi-annually.

Tenor: The tenor of the bond will be for a period of 8 years with an exit option from 5th year onwards to be exercised on the interest payment dates.

Redemption: Redemption price shall be fixed in Indian Rupees and the redemption price shall be based on simple average of closing price of gold of 999 purity of previous 3 business days from the date of repayment, published by the India Bullion and Jewelers Association Limited.

*May change from issue to issue

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Disclaimer

We are Distributors of Financial Products in India & NOT the Investment Advisors as per SEBI guidelines.

Mutual Fund Investments are subject to market risks. Please read all offer documents carefully before investing. There is NO Guarantee of any Returns in the Mutual Fund products.

"AMFI-registered Mutual Fund Distributor"
"ARN - 284652"
Date of initial registration 24th May 2004 valid till 26th Dec 2025

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Contact Info

315, Pancham Icon,
Beside vasna DMart,
Vadodara - 390007

pragatifunds@gmail.com

02652255191, +917622022853, +919725410042

Risk Factors – Investments in Mutual Funds are subject to Market Risks. Read all scheme related documents carefully before investing. Mutual Fund Schemes do not assure or guarantee any returns. Past performances of any Mutual Fund Scheme may or may not be sustained in future. There is no guarantee that the investment objective of any suggested scheme shall be achieved. All existing and prospective investors are advised to check and evaluate the Exit loads and other cost structure (TER) applicable at the time of making the investment before finalizing on any investment decision for Mutual Funds schemes. We deal in Regular Plans only for Mutual Fund Schemes and earn a Trailing Commission on client investments. Disclosure For Commission earnings is made to clients at the time of investments.

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