NPS fund house going to be allocating 100% to equity and more news

[Saral]

Today

what are new NPS rules

Starting October 1, 2025, the National Pension System (NPS) has introduced major reforms including 100% equity investment for non-government subscribers, a Multiple Scheme Framework (MSF), and shorter vesting periods.

Here’s a breakdown of the key changes:

🆕 Major Updates to NPS Rules​

📈 100% Equity Investment Option​

• Non-government subscribers can now invest up to 100% of their corpus in equities.
• This is part of the new high-risk scheme variant under the MSF.
• Previously, equity exposure was capped at 75%2.

🧩 Multiple Scheme Framework (MSF)​

• Subscribers can now hold multiple pension schemes under a single PRAN (Permanent Retirement Account Number).
• These schemes can be managed by different Central Recordkeeping Agencies (CRAs).
• Offers greater flexibility to mix conservative and aggressive investment strategies3.

⏳ Shorter Vesting Period​

• The minimum vesting period is reduced to 15 years, down from the previous requirement of superannuation (age 60).
• This allows earlier exit options, especially useful for younger investors.

👥 Tailored Schemes by Occupation​

• Pension funds can now design schemes based on subscriber profiles—corporate employees, gig workers, self-employed professionals.
• Each fund must offer at least two risk variants: moderate and high-risk4.

💸 Transparent Charges​

• Charges are now capped at 0.30% of AUM annually, with an extra 0.10% incentive for pension funds enrolling new subscribers.
• e-PRAN kit costs ₹18, physical PRAN card costs ₹40, and transaction charges are zero4.

🔄 Switching & Exit Rules​

• Switching between MSF schemes is restricted until 15 years of vesting or retirement.
• Free movement across schemes is allowed only after 15 years or at the time of exit4.

🧾 Standardized Scheme Disclosure​

• All new schemes must include a Risk-o-meter, performance benchmarks, and a document called “NPS Scheme Essentials” detailing objectives, risks, and fees.

These reforms aim to make NPS more flexible, personalized, and aligned with global pension standards. If you're considering adjusting your NPS strategy, I can help you compare schemes or assess your risk profile. Want to explore that next?


Edit in a page
i am still seeing max allocation to equity is showing 75

You're absolutely right—many NPS platforms still show a 75% equity cap because the new 100% equity option is only available under the freshly launched Multiple Scheme Framework (MSF), not in the older Common Schemes.

🧠 Why You're Seeing 75% Equity Cap​

Here’s what’s happening:

• Legacy Schemes (Common Schemes): These are the original NPS schemes most subscribers are enrolled in. They still limit equity exposure to 75%, even after October 1, 20252.
• New MSF Schemes: The 100% equity allocation is only available in the high-risk variant of schemes launched under the Multiple Scheme Framework (MSF)3.
• Platform Lag: Some NPS portals and CRAs (like CAMS, Protean, KFintech) may not have fully rolled out or updated their interfaces to reflect the new MSF options yet.

✅ What You Can Do​

To access the 100% equity option:

1. Check if your CRA offers MSF schemes.
   
   • Look for schemes labeled with terms like “Growth,” “Wealth Builder,” “Power of Compounding”—these are often part of MSF.
2. Switch to an MSF scheme.
   
   • You’ll need to open a new PRAN under the MSF structure using your PAN.
   • You can hold multiple schemes under one PAN, even across different CRAs.
3. Choose the High-Risk Variant.
   
   • Only the high-risk variant allows 100% equity allocation.
   • Moderate-risk variants will still cap equity at lower levels.
4. Wait for CRA updates.
   
   • If your CRA hasn’t launched MSF schemes yet, you may need to wait or switch to one that has.

 

[Animal]

I tried increasing equity allocation to 100% yesterday, however NPS portal was not allowing. Still max is 75%. Will wait and watch.

 

[Manny@11]

The

I tried increasing equity allocation to 100% yesterday, however NPS portal was not allowing. Still max is 75%. Will wait and watch.

100% equity allocation is allowed only under new schemes i.e. MSF framework. Under existing schemes, limit of 75% still holds. If you want to have 100% equity exposure, you may opt for a new scheme and start making contributions there.
Hope this helps!

 

[Animal]

The

100% equity allocation is allowed only under new schemes i.e. MSF framework. Under existing schemes, limit of 75% still holds. If you want to have 100% equity exposure, you may opt for a new scheme and start making contributions there.
Hope this helps!

As OP mentioned that the new schemes are not yet available under all PFM, so need to wait.
Are you able to change it to 100%?