Maturity of Sovereign Gold Bond& Exit option available before maturity:
The tenor of SGB is for a period of eight years with premature optional exit window after 5th year which can only be exercised on the interest payment dates.
Sovereign Gold Bond Price
The bond issue is priced at the simple average of closing price of gold of 999 purity— published by the India Bullion and Jewellers Association—in the last three* working days of the week preceding the subscription. The same methodology is followed for calculation of redemption price.
However, in some of the earlier tranches ₹ 50 per gram flat discount has been given and for more recent tranches, issued price has been reduced by₹ 50 per gram than the nominal value to those investors applying online and the payment against the application is made through digital mode.Payment can also be made through cash (up to ₹ 20000) or cheques or demand draft but ₹ 50 per gram online discount will not be applicable. Here are the details of all the tranches.
*in initial nine tranches, instead of last three, previous week’s (Monday–Friday) simple average of closing price was considered.