The PPF is a widely known instrument and almost two of every three respondents invest in it. Only a small segment of respondents (5.4%) did not know about it, while the remaining 30% said it didn't suit their needs.
However, the NPS does not enjoy such a widespread appeal as the PPF. Despite continued efforts by the government, more than 13% of educated Indians still don't know about NPS while over 61% say it does not suit them. Many of those who say the NPS is unsuitable may change their views if they were told about its benefits. The scheme has the lowest fund management charges among all market-linked investments. Mutual funds and new online Ulips charge Rs 1,500-2,500 a year for managing a corpus of Rs 1 lakh. NPS funds charge only Rs 10.