However, whatever the investment is, everyone has both advantages and risks. But some safe investments like Fixed Deposit, Savings Account in Bank, Recurring Deposit etc. ensure returns. Therefore, the benefit accruing to them is also less. Investing in the stock market is risky, but when there is profit, the returns are high.
But what happens is that whenever you invest under a scheme, the riskier part of that investment is hidden by the company or fund manager. And when they motivate you to invest, they only draw your attention towards the benefits of investing. They never tell you how much risk is there.
like that A scheme National Pension System (NPS) Is . But now whoever invests under this scheme will be informed by the fund manager not only about the benefits but also about its risks.
Regulatory regulatory has issued circular
NPS regulator Pension Fund Regulatory Development Authority (PFRDA) has issued a circular to inform investors about the risk in advance. It states that investors investing under the National Pension System will also have to inform the fund manager about the risk of that investment. So that customers can decide whether to invest or not.
It has been clarified in the issued circular that, in this, customers will have to tell six types of risk low risk, low to medium risk, intermediate risk, medium risk, high risk and very high risk.
Risks will have to be shown on the website of the pension fund
If you are also planning to invest under National Pension System, and want to know where you can check the investment risk. So want to tell you that you can check the risk through the website of the fund in which you want to invest. Because according to the circular, only those who manage the pension fund will have to tell the customers about the risk.
This includes all equity schemes, corporate debt and schemes issued by government securities. And they should provide the risk details of all pension schemes in the Portfolio Disclosure column. And further it has also been said that this detail will have to be updated within 15 days of the last month of every quarter.
How will the investment be rated
According to the information, various investment schemes will be included in the rank from 0 to 12. An investment that gets a 0 ranking would mean that the investment is low in risk, so it is the best investment option. Conversely, a ranking of 12 means that it has the worst credit quality. That is, the risk on this investment will be the highest.
This investment will be reviewed every quarter by the National Pension System Trust and its rating will be changed on that basis. Therefore, it clearly means that the investment which is more risky investment in today’s debt, its position may improve after three months, hence it is also called debt risk.
15 New rule will be applicable from July
The date of implementation of this circular issued by NPS regulator Pension Fund Regulatory Development Authority has been fixed as 15 July 2022. That is, the above new rules we were talking about, these new rules will come into effect from July 15. These rules will be applicable to all the schemes and the fund manager, who starts the scheme on 31st March of every year, will have to inform the concerned authority about the level of the schemes.
It will also state the number of times the risk position of that investment has changed in a financial year. Another facility has been provided by the National Pension System to the investors, any investor can also get the solution of their investment related problems by sending a message on whatsapp 8588852130.
Now it is not limited to government servants only. NPS
If we talk about the National Pension Scheme, then it was started in the year 2004. Earlier only government employees were eligible to take advantage of this scheme. That is, to take advantage of this pension scheme, earlier you had to be employed in a government job. But after the year 2009, it was also opened to the private sector.
And now any Indian can take advantage of this scheme. Those investing in this scheme also get tax exemption, so more and more people can take advantage of this retirement plan.
For your information let us know that investing in mutual funds The rule of giving information to the customers about the risk thereof is already in force. But since it has now started in NPS schemes also, more and more people are likely to benefit from it.