You are allowed to sell sovereign gold bonds on stock exchanges or redeem prematurely
You can invest in sovereign gold bonds either for the benefit of diversification
The bonds have a tenor of eight years
The sovereign gold bonds that are periodically issued by the Reserve Bank of India (RBI) are an efficient way to invest in gold. You can invest in it either for the benefit of diversification that comes from the low correlation between the returns from gold and other asset classes such as equity and debt or as a way to accumulate it to meet a future need to buy or gift gold.