Why I am unable to buy SGB in Zerodha

Zerodha
82

I was able to buy SGBs through kite. But now i am only able to see them in my holdings in Console and not on Kite. Can i not sell them now through zerodha?

83

Are they listed on exchange? you bought in secondary market or primary?

84

Hi, I was going through all the posts. Please clarify this, Can I buy SGB on kite after they are listed on exchanges?

85

Yes, you can buy listed SGB’s through Kite.

86

@sureshkeshan @AJ007
do you got SGB delivered in your Demat account?

87

@siva @VenuMadhav

now, can we buy SGB in secondary market? will it delivered to our Demat account?

88

Yes, one can buy and will be delivered in demat in 3 days, the same is mentioned above.

89

Yes.

90

@siva
sorry i am new to bond market, i want to know whether Govt will credit interest for Sovereign Gold bond bought in secondary market or not?

91

It does.

92

Is LTCG on SGB exempt from tax if it is bought from secondary market and held till maturity?

93

No, it should be held for full 8 years.

94

Sir/Madam,

I need an understanding of how sgb works in demat account.

Please clarify my queries below:

  1. If I purchase a sgb with maturity date Dec 2025 from the stock exchange and hold it in my demat account, will I be eligible for 2.5% interest? To which account will the interest be credited?

(The details of the person who sold it to me will only be available with RBI. How would this be updated when we buy from nse?)

  1. Upon maturity, if I still hold the sgb in my demat account, how would it get redeemed?

Kindly advise. Thank you.

Vijayshankar Kumaraguruparan

95

Yes. To your primary bank account.

Bond will be extinguished and proceeds credited to your bank account.

PS Don’t disclose your mobile number publicly on a forum!

1 Like
96

Thank you very much for the crisp and clear explanation Mr Bhuvanesh. Also for the PS mainly.

1 Like
97

Hello Zerodha Team, am holding Zerodha account. Pls help answering following queries:

  1. Can we trade SGB’s in Secondary market like a Stock trade i.e. Buying & selling same SGB in secondary market.

    a. If yes, would it be possible only after delivery (T+3) or before too?

    b. If not, will I get locked for 5 years / 8 years, until its maturity, after buying it from Secondary market?

  2. Why do we have difference in price for different SGBs lot, when all are Gold. All of them should be at the same price level (Gold price), no matter what price it was bought at from Primary Market?

  3. Why do the price of different SGB’s lot vary differently, when all are gold. Does it also depend on the trading of that SGB. If Yes, what is the meaning of buying SGB from Primary Market if the amount at maturity would be different for different lots? Ideally these are gold & should be same. Pls elaborate.

these may be silly questions, pls help clarifying them. Thank you!

98

Yes

Yes

No, you can sell on the exchanges anytime

Supply, demand, liquidity issues

Same as above

99

On redemption its exempt doesn’t matter from where u bought.

On sale before redemption u will have to pay cap gain tax. Though u will get indexation benefit if its held for long term

100

I’ve recently opened an a/c. How can I check I will be able to invest in SGBs via Zerodha. I have not traded yet. I see two options enabled on my dashboard - Equality, Commodity.

101

go to zerodha.com/gold when the next issue of SGB happens, check here for the issuance calendar:
Upcoming Sovereign Gold Bond issues