NPS is better

It's GOOD NEWs for the govt employees.

Yesterday,  BusinessLine  published a news /report "Govt employees make better returns in NPS".
The secret behind this better performance is EQUITY investments. If this is done efficiently, I believe the post-2004 employees would be at a better edge than others. Let's hope the best.
Please read the full report...

Pension for a Paisa

Below is an article in Business Line, on the New Pension System (NPS). Though this may not be  relevant to most of us, its informative and an eye opener for things to come.

More on N P S

NPS may soon allow partial withdrawals, making it more appealing and more liquid.  However, the withdrawals  are subject to  certain conditions.

1.       Maximum withdrawal not to exceed 25%  of the total contributions made

2.       Should have a regular NPS account for a minimum of 10 years

3.       Withdrawals only for Children’s  higher education and wedding,  first  house, or certain illnesses

4.       Withdrawals can’t be more than three times  during the tenure , with a gap of  five years.

This makes the NPS more liquid  and strong, considering the low-cost investment model  it follows and give an option to save through equities.

Improving NPS

Are you aware that the NPS is certainly improving its performance ?  There are now 55 lakhs subscribers,  and 40 thousand crores total corpus. The scheme, being managed by Pension Funds, gave a 12+ % returns for Fy12-13.  Now that more Fund houses are coming up for the Fund manageement, the fund management fees will come down. That will further improve the NPS returns.

( Copy from The Hindu )