Question

<!--td {border: 1px solid #ccc;}br {mso-data-placement:same-cell;}--> Consider the following statements with respect to Sovereign gold bond:

1.They are issued in grams of gold (minimum 1 gram of gold)​.

2.Bonds are sold through offices or branches of Nationalized Banks, Scheduled Private Banks, Scheduled Foreign Banks, designated post offices etc​.

3.The bonds bear no interest .

4.These securities are eligible to be used as collateral for loans from banks, financial institutions and Non-Banking Financial Companies (NBFCs) .

Select the correct code from the following:

• A. 1, 2 and 3 only.
• B. 1, 2 and 4 only.
• C. 1, 3 and 4 only.
• D. All of the above.

Answer 1

The correct option is B 1, 2 and 4 only.

<!--td {border: 1px solid #ccc;}br {mso-data-placement:same-cell;}--> Statement 3 is incorrect.

The bonds bear interest at a fixed rate of 2.50 per cent per annum on the amount of initial investment.​