SGB turns Rs 1L investment into Rs 3.95L
The Reserve Bank of India (RBI) has announced that investors in the SGB 2019-20 Series IV can redeem their investments early on September 17, 2026. The premature redemption price set by the RBI is Rs 15,173 per unit of the SGB.
To calculate the redemption value, the RBI uses the simple average closing price of 999 purity gold from the India Bullion and Jewellers Association (IBJA) for the three business days prior to redemption. In this case, the price is calculated based on the closing prices of September 16, September 15, and September 11, 2026.
When the SGB 2019-20 Series IV was first issued, it was priced at Rs 3,840 per gram of gold. The absolute return on this investment is Rs 11,333, which is a 295.13% return on the initial investment. This means that an investment of Rs 1 lakh in this SGB series would be worth approximately Rs 3.95 lakh today, not factoring in interest.
Written by urgent.news from The Economic Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
