Source: BS
Context:
Pension Fund Regulatory and Development Authority (PFRDA) announced a Multiple Scheme Framework (MSF) for non-government NPS subscribers.
Key Features of MSF
- Multiple Schemes per Subscriber:
- Non-government subscribers can hold multiple schemes under a single PRAN across various CRAs (Central Record Keeping Agencies).
- Earlier, subscribers were limited to one investment choice per tier and one CRA.
- Tailored Schemes:
- Pension Funds (PFs) can design schemes for specific subscriber groups such as:
- Digital economy workers
- Self-employed professionals
- Corporate employees with employer co-contributions
- Pension Funds (PFs) can design schemes for specific subscriber groups such as:
- Variants & Equity Allocation:
- Each scheme must have at least two variants: moderate-risk and high-risk.
- Equity allocation in high-risk schemes can now go up to 100% (previously 75%).
About PFRDA
- Establishment: Initially set up as a regulatory body for pension sector; made statutory under PFRDA Act, 2013 (notified on Feb 1, 2014).
- Jurisdiction: Department of Financial Services (DFS), Ministry of Finance (MoF).
- Chairman: Sivasubramanian Ramann
- Headquarters: New Delhi, Delhi
- Mandate: Promote, develop, and regulate the pension sector in India, including NPS.
