- Two new NPS investment options are now available for Central Autonomous Bodies employees
- LC-75-High allows up to 75% equity for long-term growth potential in pension investments
- Balanced Life Cycle Fund caps equity at 50%, reducing exposure from age 45 for stability
Two more National Pension System (NPS) investment options have been made available to Central Autonomous Bodies (CABs) employees by the Indian government. These choices, which were previously exclusive to direct workers of the Central Government, give subscribers more equity exposure to optimise long-term asset building.
One of the two options is 'LC-75-High (previously Aggressive Life Cycle Fund)', designed for subscribers looking for more long-term growth potential, as it permits up to 75% equity investment.
The second option is Balanced Life Cycle Fund (BLC)—now named as Aggressive Life Cycle Fund. This investment option caps equity exposure at 50%, with a gradual reduction in equity allocation beginning from the age of 45 years, offering a balanced approach between growth and stability.
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By expanding these investment options, NPS subscribers in Central Autonomous Bodies will have more freedom to match their pension investments to their personal risk tolerance, financial objectives, and retirement planning needs. These options increase the National Pension System's appeal to workers covered by NPS throughout Central Autonomous Bodies and strengthen subscriber choice, as per a press release by the Ministry of Finance.
Administrative Ministries and Departments have been asked to inform the CABs under their administrative control about the availability of the aforesaid investment choices. The aforesaid investment choices shall be made available in the Central Record Keeping Agency (CRA) system.
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