The RBI’s Retail Direct Scheme enables individual investors to directly invest in government securities, bypassing intermediaries like brokers or mutual funds.
Under this scheme, retail investors can open a Gilt Securities Account called “Retail Direct Gilt (RDG)” with the RBI, allowing them to buy and sell government securities via the online portal https://rbiretaildirect.org.in.
Benefits of the RDG account include the ability to purchase government securities directly in primary and secondary markets, diversify portfolios, and reduce risk. There are no charges associated with this scheme.
Investors can access various government securities such as Treasury Bills, dated securities, State Development Loans, and Sovereign Gold Bonds through this platform.
To open an RDG account, investors need a rupee savings bank account in India, a PAN, an OVD for KYC, a valid email, and a registered mobile number. Non-resident retail investors under FEMA 1999 can also participate.
The account opening process involves providing personal details, KYC verification, nomination details, and linking the savings bank account. Successful applicants receive account details via email.
The account opening process involves providing personal details, KYC verification, nomination details, and linking the savings bank account. Successful applicants receive account details via email.
In summary, the RBI’s Retail Direct Scheme simplifies government securities investment for retail investors, offering a convenient online platform while eliminating intermediary fees.
