Citizens of India will now have an option of securing their post-retirement life with the New Pension Scheme established by the Government under the Pension Fund Regulatory and Development Authority (PFRDA).
The scheme has come in to effect from May 1, 2009. The unique feature of the scheme is the flexibility offered for investors to choose their asset allocation as well as their fund managers.
This scheme has already been made mandatory for Central Government employees from 2004 and is said to have earned a weighted average return of about 14.5 per cent (according to PFRDA) over the last one year.
Text: Business Line
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