New Enroll in RBI Grade B New Batch - Starts on May 21

    Question

    Which of the following Statements regarding the

    Sovereign Gold Bond Scheme is/are True? (I) The upper limit for retail (individual) investors and HUFs is 12 kilograms each per financial year. (II) A lady can buy SGB in the name of her minor daughter in May 2017 series. (III) Minimum permissible investment is 1 gram of gold.
    A Only I Correct Answer Incorrect Answer
    B I & II Correct Answer Incorrect Answer
    C II & III Correct Answer Incorrect Answer
    D I & III Correct Answer Incorrect Answer
    E Only III Correct Answer Incorrect Answer

    Solution

    The upper limit for retail (individual) investors and HUFs is 4 kilograms (4,000 units) each per financial year. For trusts and similar entities, an upper limit of 20 kilograms per financial year is applicable. Minimum permissible investment is 1 gram of gold. The gold bonds come with a maturity period of eight years, with an option to exit the investment after the first five years. Interest Rate: A fixed rate of 2.5% per annum is applicable on the scheme, payable semi-annually. A minor can invest in SGB. The application on behalf of the minor has to be made by his/her guardian.

    Practice Next