Is this a good time to invest in gold bonds? Yes, but do it wisely

The advantages are plenty. There are no hassles such as purity checks, making charges, and locker charges

With the Reserve Bank of India announcing Series-I of the sovereign gold bond (SGB) scheme for 2020-21, investors are wondering if this is a good time to invest in the yellow metal. After all, it has run up nearly 100 per cent in the past one year.

Under the scheme, you can buy a minimum of 1 gm of gold at Rs 4,639 per gm, with Rs 50-discount on a purchase made online. The upper limit for investing via SGBs is 4 kilos of gold. You also get 2.5 per cent interest on the initial investment, payable every six months.