NewZNew (Chandigarh) : The Government of India has launched Sovereign Gold Bond Scheme, a financial investment option, as an alternative to purchase of physical gold. Federal Bank has joined the distribution of the bond and this product is offered through all its branches pan India.  Facility to invest in the bonds Online will also be launched shortly. The bonds will earn a fixed rate of 2.75% p.a. payable semi annually on the initial value of investment.

Announcing the program, Shri K A Babu, Retail Business Head, said: “The customers who invest in physical gold may find gold sovereign bond scheme an attractive investment option as in addition to the investment earning an interest, the investor need not worry about the safety and quality of gold since this is in paper/ dematerialized form.    Bank is  happy to join the initiative from the day one of the scheme.”