[miningmx.com] – RAND Merchant Bank (RMB) has launched a gold bond, a five-year, interest-bearing KrugerRand-denominated note as of August 12 with the first issue amounting to R2bn.
“The Gold Bond offers investors an alternative exposure to gold, offering both inflation and rand/US$ protection while avoiding the significant storage and administration costs associated with other direct gold investment options available,’ says RMB Debt Capital Markets co-head Dale Wood.
“The notes provide direct exposure to the rand gold price and a positive yield in the form of interest ounces payable on maturity.
“Furthermore, at maturity investors can choose whether they want to take settlement in cash, or in KrugerRands,’ he said.
