Sovereign Gold Bonds (SGBs) are government securities denominated in grams of gold that provide investors with an alternative to holding physical gold. They offer exposure to changes in gold prices along with a fixed interest payment on the initial investment. SGBs eliminate the need for physical storage and security, but investors should consider their tenure, liquidity, taxation, and redemption provisions before investing. Gold ETFs are another popular option for investors seeking exposure to gold without holding it physically.
