Sovereign Gold Bond scheme opens today. Should you subscribe?

With gold prices on a decline, thanks to a rise in bond yields - globally and in India - analysts say investing in the yellow metal and the SGB scheme makes little sense right now

The last tranche – twelfth in the series – of Sovereign Gold Bond (SGB) for financial year 2020-21 (FY21) opened for subscription on Monday. Priced at Rs 4,662/gram, investors applying online will be eligible for a discount of Rs 50/gram. The tenor of the bond is 8 years and with a fixed interest of 2.50 per annum, which will be credited semi-annually in the investor’s bank account.

With gold prices on a decline, thanks to a rise in bond yields – globally and in India – analysts say investing in the yellow metal and the SGB scheme makes little sense