Zero Credit Risk
Government Securities (G-Secs) via RBI Retail Direct
Verified Indian financial mathematics, statutory regulations, and step-by-step actionable breakdowns.
Expected Yield6.5% - 7.5% yield
Lock-In Tenure91 days to 40 years (tradable)
Risk LevelZero Risk
Tax StatusTaxable as Slab
Overview & Statutory Background
G-Secs and Treasury Bills are debt instruments issued by the Government of India. Through the RBI Retail Direct portal, retail investors can buy them directly with no brokerage and hold them in a free Gilt Account.
Key Features & Operational Guidelines
Minimum investment ₹10,000
Treasury Bills (91/182/364 days), dated G-Secs and State Development Loans
Free Retail Direct Gilt Account with RBI
Tradable on the secondary market
Who is Eligible to Invest?
- •Resident individuals with a PAN-linked bank account
Indian Taxation Breakdown
| Stage | Tax Treatment |
|---|---|
| Initial Investment | No deduction. |
| Interest & Returns | Coupon taxed at slab with no TDS. |
| Maturity / Withdrawal | Capital gains from early sale are taxable. |
Advantages & Limitations
Key Advantages (Pros)
- ✓Highest safety
- ✓No fees on RBI portal
- ✓Portfolio diversifier
Important Limitations (Cons)
- ✕Price risk if sold before maturity
- ✕Taxable
- ✕Portal learning curve
Government Securities (G-Secs) via RBI Retail Direct FAQs
G-Secs carry sovereign backing and no credit risk, while bank FDs are covered by DICGC only up to ₹5 Lakh.
Calculate Compound Returns
Use our interactive calculators to simulate exact growth schedules for this asset.