New NPS scheme: PFRDA will float new scheme with 50% equity-debt mix in July-August

National Pension System: Pension Fund Regulatory and Development Authority (PFRDA) chairman Deepak Mohanty has said that a new scheme under the National Pension System (NPS) will be launched between July and August, which will allocate 50% of investments to debt and 50% to equity.

The aim is to balance risks and returns effectively. The asset allocation will be done on the basis of age of the investor, a report in Moneycontrol said. The proportion of debt investments will increase for investors above the 45-year mark.

“July-September new NPS balance lifecycle scheme will be launched. The new scheme will have 50 percent investment in debt and equity each. It will balance the return and risk due to age factors,” Mohanty said at a media conference.

Existing NPS subscribers will have the option to switch to this new scheme.