Investment
SGB
Also known as: Sovereign Gold Bonds, Gold Bonds
Sovereign Gold Bonds - Government securities denominated in gold issued by RBI.
Detailed Explanation
SGB (Sovereign Gold Bonds) are government securities denominated in grams of gold. They are issued by RBI on behalf of Government of India. Investors get semi-annual interest of 2.5% per annum and capital gains exemption if held till maturity (8 years). They can be traded on exchanges before maturity.