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PFRDA sets up expert panel to frame assured payout structure under NPS

New Delhi, Jan 13 (UNI) The Pension Fund Regulatory and Development Authority (PFRDA) has constituted a high-level expert committee to design a regulatory framework for assured payouts under the National Pension System (NPS), a move aimed at strengthening retirement income security for subscribers, an official statement said on Tuesday. The committee has been tasked with developing guidelines that will enable predictable and assured pension payouts when subscribers move from the accumulation phase to the withdrawal phase. This initiative is seen as a significant step towards improving post-retirement financial certainty while retaining the core market-linked structure of the NPS.

Central India's Premier English Daily

Central India's Premier English Daily

Credit: Centralchronicle

Key Highlights

  • The 15-member panel will be chaired by Dr MS Sahoo, former chairperson of the Insolvency and Bankruptcy Board of India, and comprises experts from diverse fields including finance, law, insurance, actuarial science, capital markets and academia.
  • The committee may also invite additional subject-matter specialists as needed to support its work.
  • As part of its mandate, the panel will examine various mechanisms to ensure assured payouts, including the use of market-based solutions and legal constructs such as novation and settlement.
  • It will also propose operational norms covering lock-in periods, withdrawal options, pricing structures and fee mechanisms applicable under the assured payout model.
  • The committee will review risk management and capital adequacy requirements to safeguard subscriber interests while maintaining financial stability within the pension ecosystem.
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Sources

  1. PFRDA sets up expert panel to frame assured payout structure under NPS

This quick summary is automatically generated using AI based on reports from multiple news sources. The content has not been reviewed or verified by humans. For complete details, accuracy, and context, please refer to the original published articles.

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