MUMBAI: The Federal Bank has launched a new campaign for Sovereign Gold Bonds (SGB) that has been praised for its outstanding execution and ability to make a complex financial product accessible and enticing to the masses. The campaign, which is being promoted on all of the bank’s digital platforms and social media handles, highlights the profitability of SGBs for customers and showcases the maximum price trend for the previous seven years. The mention of an attractive interest rate of 2.50% on the initial investment immediately piques the interest of potential investors.
The campaign also excels in simplifying the subscription process by offering multiple subscription methods, including mobile and net banking online (FedMobile and FedNet), as well as in-person at Federal Bank branches. Availing it online would fetch a discount of Rs 50/-. The campaign is being promoted on all the digital platforms of Federal Bank and Social Media handles including Instagram, Twitter, and Facebook.
SGBs are government securities denominated in grams of gold and are substitutes for holding physical gold. Investors have to pay the issue price in cash, and the bonds will be redeemed in cash on maturity. The Bond is issued by the Reserve Bank on behalf of the Government of India. Sovereign Gold Bonds are a lucrative investment option that offers an interest rate of 2.50% on the initial investment. One can apply for SGB online via FedMobile (Mobile Banking App) or FedNet (Internet Banking) or offline by visiting any Federal Bank branch. Sovereign Gold Bond Scheme has opened on 11th Sep for a period of five days till 15th Sep 2023. The issue is priced at Rs.5,923 per gram with a discount of Rs.50 per gram when invested through the online mode.
Federal Bank’s campaign for SGB stands out as a shining example of how financial institutions can effectively market investment products. It combines simplicity, profitability, urgency, and online convenience to create a compelling case for SGBs as an investment choice.
Federal Bank is a leading Indian private sector bank with a network of around 1385 banking outlets and 1,918 ATMs/Recyclers spread across the country. The Bank’s total business mix (deposits + advances) stood at [?] 4.06 Lakh Crore as of 30th June 2023. The Capital Adequacy Ratio (CRAR) of the Bank, computed as per Basel III guidelines, stood at 14.28 % as of 30th June 2023. Federal Bank has Representative Offices in Dubai and Abu Dhabi that serve as a nerve center for Non-Resident Indian customers in the UAE. The Bank also has an IFSC Banking Unit (IBU) in Gujarat International Finance Tec-City (GIFT City). Federal Bank is transforming itself, keeping its principles intact, into an organization that offers services beyond par. It has a well-defined vision for the future as a guidepost to its progress.
