Andhra Bank’s Sovereign Gold Bond Scheme Tranche-V (2016-17 series-II) will be open for public subscription from September 1 to 9.
Those desirous of subscribing could do so at any of the bank’s 2,835 branches across the country. Resident Indian entities, including individuals, HUFs, Trusts, universities and charitable institutions can apply (minimum one gram and maximum 500 grams). The tenor is eight years with provision of premature cancellation after five years, a release from Andhra Bank on Wednesday said.
The Reserve Bank of India has notified a rate of interest of 2.75 per cent/per annum. The issue price will be Rs. 3,150 per gram. Customers having Internet banking facility could apply online.
The Gold Bond Scheme enables people to invest in gold without physically buying the gold and receive money equivalent to the market value of gold as determined by RBI at the time of redemption besides earning interest on the invested amount semi-annually, the release said.
