RBI Announces Premature Redemption for Sovereign Gold Bonds on April 15, 2026
RBI sets SGB premature redemption for 15 April: Check profit on 10 units
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The Reserve Bank of India (RBI) has set April 15, 2026, as the date for premature redemption of Sovereign Gold Bond (SGB) 2019-20 Series-V. Investors can redeem their bonds at a price of ₹15,009 per unit, potentially yielding significant profits compared to the initial investment.
- 01Premature redemption for SGB 2019-20 Series-V is scheduled for April 15, 2026.
- 02Redemption price is set at ₹15,009 per unit, based on average gold prices.
- 03Investors could see profits of ₹1,12,710 for 10 units compared to initial investment.
- 04Interest rate for SGB is 2.50% per annum, paid semi-annually.
- 05Capital gains tax on redemption is exempt for individuals.
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The Reserve Bank of India (RBI) has announced that investors holding the Sovereign Gold Bond (SGB) 2019-20 Series-V can redeem their bonds early on April 15, 2026. This option is available after five years from the issue date, which was October 15, 2019. The redemption price has been fixed at ₹15,009 per unit, calculated based on the average closing gold prices over the three business days preceding the redemption date. Investors who purchased the bonds at ₹3,738 per gram can expect significant profits; for instance, holding 10 units would yield a total redemption value of ₹1,50,090, resulting in a profit of ₹1,12,710. The SGB offers an interest rate of 2.50% per annum, paid semi-annually for eight years, and while the interest earned is taxable, capital gains from redemption are exempt from tax.
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Investors in Sovereign Gold Bonds can benefit significantly from the upcoming redemption option, enhancing their returns on investment.
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