The All India Citizen’s model of the National Pension Scheme (NPS) was introduced to provide retirement security to those not covered under the scheme as a part of employer-employee relationship. The model is aimed at both private sector employees as well as self-employed. While the government has made several changes in the features and taxation of NPS to make it more attractive, it still has some distance to cover before beating one of its major competitors — creating a retirement portfolio primarily consisting of equity mutual funds.
Here I will list how NPS All Citizen’s Model and mutual funds fare against each other for retirement planning:
