Sixth tranche of the sovereign gold bond scheme to come with discount

The Indian government’s sixth tranche of the sovereign gold bond scheme carries a price attraction. It comes with a discount of Rs 50 per gram, from the previous times when bonds were issued at nominal closing value of pure gold. Also, the bonds are offered at the lowest prices in the current year – at Rs 2,957 per gram, reports say. The scheme is valid from October 24 to November 2.

Some other differences compared to the previous tranches is that the yearly interest payable on these bonds has been reduced from 2.75% to 2.5%. The eight-year term of the bonds remains unaltered and there is the exit option from the fifth year to be done on the interest payment dates.