Turning global regulatory lessons on front commissions harming the way a financial product is sold, the Pension Fund Regulatory and Development Authority (PFRDA) has revised commissions for Points of Presence (PoPs). PoPs are entities such as banks that sell the National Pension System (NPS) scheme and earn commission from the investments you make.
In a circular dated 27 October 2017, PFRDA announced a new charge structure for the private sector NPS (the NPS for citizens and corporate entities). The good news for you is that the hike is marginal and will not impact your investments significantly. The not so good part is that now the incentives are a tad more difficult to understand. The circular can be read here: bit.ly/2yXNoTH. We bring you the details.
