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Below is Perspective on Sovereign Gold Bond 2022-23 by Mr. Nish Bhatt, Founder & CEO, Millwood Kane International 

“The price for Series-I of the Sovereign Gold Bond 2022-23 is fixed at Rs 5,091/gm. Investment in Sovereign Gold Bonds has become an accepted practice, fast replacing physical gold. RBI has already raised in excess of Rs 16,000 crore in FY21, and over Rs 25,702 crore via SGBs since 2015.

Investment in non-physical gold, digital gold provides higher liquidity, eliminates storage costs, and is easier to sell than physical gold. Also, an investment in SGBs comes with an interest coupon payable semi-annually. After touching a high in the month of April, gold prices have cooled off due to the rally in the US Dollar. A higher US dollar makes it expensive to own gold. An expectation of a further rise in inflation, interest rates, and yields across the globe will restrict much of the gains for gold. Traditionally, gold prices tend to rise during uncertain times. The escalation in the geopolitical tensions in Russia-Ukraine, new variants of the virus may push gold prices upwards.”

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