Under NPS, what is the maximum percentage contribution

Solution

There are four asset classes from which the allocation is to be specified under a single PFM  

1. 1. Asset Class E – Equity and related instruments  

2. 2. Asset Class C – Corporate debt and related instruments  

3. 3. Asset Class G – Government Bonds and related instruments  

4. 4. Asset Class A - Alternative Investment Funds including instruments like CMBS, MBS, REITS, AIFs, Invlts , etc .  

1. 1. Percentage contribution value cannot exceed 5% for Alternative Investment Funds  

2. 2. The total allocation across E, C, G and A asset classes must be equal to 100%.  

3. 3. For Tier-II, you can allocate 100% to Equity.  

4. 4. For Tier-I, you can allocate 75% to Equity.