What is the Performance of Different Types of NPS?

National Pension Schemes offers different types of fund schemes to investors based on their needs. An investor can choose the type of fund as per his/her risk capacity.
NPS offers four types of funds. These are Ultra Safe, Conservative, Balanced and Aggressive funds. Given below are mixed results for four different types of investors allocating in a variety of equity funds.

1. Ultra-Safe

Distribution in Asset Mix as follows:

Gilt/Debt funds: 60%
Corporate bond fund: 40%

Investors with no investment in equities have made the maximum returns. The best option is LIC Pension Fund in Ultra Safe Funds, delivering double-digit returns in the past 3-5 years.

ULTRA SAFE 6-Month 1-Year 3-Year 5-Year 3-Year SIP 5-Year SIP
Aditya Birla SL Pension Scheme 7.07 15.87 10.34 11.27
HDFC Pension Fund 7.30 15.99 9.94 10.16 11.39 10.02
ICICI Prudential Pension Fund 6.42 15.12 9.70 10.03 10.98 9.75
Kotak Pension Fund 6.64 14.83 9.44 9.99 10.75 9.62
LIC Pension Fund 7.10 16.32 10.35 10.65 11.90 10.50
SBI Pension Fund 6.78 15.58 9.84 10.13 11.10 9.92
UTI Retirement Solutions 7.01 15.26 9.28 9.71 10.81 9.53
AVERAGE 6.90 15.57 9.84 10.11 11.17 9.89
2. Conservative

Distribution in Asset Mix as follows:

Gilt/Debt funds: 50%
Corporate bond fund: 30%
Equity: 20%

Investors invested in conservative funds also did good, thanks to decreasing rates of interest. The best top comer in these funds is Newcomer Aditya Birla Sun Life. Long term bonds rose sharply making up for the loss in equities.

CONSERVATIVE 6-Month 1-Year 3-Year 5-Year 3-Year SIP 5-Year SIP
Aditya Birla SL Pension Scheme 1.07 9.16 8.13 7.53
HDFC Pension Fund 1.10 9.00 7.75 8.69 7.65 8.04
ICICI Prudential Pension Fund 0.02 7.68 7.21 8.29 6.93 7.53
Kotak Pension Fund 0.40 7.90 6.95 8.38 6.87 7.51
LIC Pension Fund 0.37 8.33 7.41 8.59 7.50 7.98
SBI Pension Fund 0.58 8.23 7.42 8.49 7.21 7.77
UTI Retirement Solutions 0.51 7.88 6.89 8.15 6.77 7.37
AVERAGE 0.58 8.31 7.40 8.43 7.21 7.70
3. Balanced

Distribution in Asset Mix as follows:

Gilt/Debt funds: 33.34%
Corporate bond fund: 33.3%
Equity: 33.33%

Investors in balanced funds suffered some pain because of fall in equity. The returns earned in the past 3-5 years are misleading. Even the returns from SIP during the same time have not been so good.

BALANCED 6-Month 1-Year 3-Year 5-Year 3-Year SIP 5-Year SIP
Aditya Birla SL Pension Scheme -3.21 4.36 6.66 4.70
HDFC Pension Fund -3.48 3.87 6.11 7.63 4.70 6.47
ICICI Prudential Pension Fund -4.74 2.18 5.36 7.05 3.70 5.75
Kotak Pension Fund -4.19 2.63 5.04 7.17 3.70 5.75
LIC Pension Fund -4.52 2.55 5.17 7.01 3.92 5.86
SBI Pension Fund -3.93 2.91 5.64 7.30 4.15 6.08
UTI Retirement Solutions -4.04 2.52 5.14 7.04 3.59 5.68
AVERAGE -4.01 3.00 5.59 7.20 4.06 5.93
4. Aggressive

Distribution in Asset Mix as follows:

Gilt/Debt funds: 20%
Corporate bond fund: 30%
Equity: 50%

Investors with Aggressive fund type lost money due to 50% investment in equities. Now 50% investment in equity can be increased up to 75%, resulted in lost more of the money. Aditya Birla SL Pension Fund has been the top performer.

AGGRESSIVE 6-Month 1-Year 3-Year 5-Year 3-Year SIP 5-Year SIP
Aditya Birla SL Pension Scheme -8.35 -1.39 4.82 1.07
HDFC Pension Fund -8.86 -2.19 4.19 6.37 1.00 4.52
ICICI Prudential Pension Fund -10.31 -4.29 3.20 5.56 -0.36 3.54
Kotak Pension Fund -9.60 -3.47 2.85 5.76 -0.22 3.62
LIC Pension Fund -10.33 -4.34 2.58 5.19 -0.58 3.24
SBI Pension Fund -9.29 -3.42 3.54 5.89 0.29 3.95
UTI Retirement Solutions -9.57 -3.85 3.07 5.70 -0.43 3.56
AVERAGE -9.47 -3.28 3.46 5.74 0.11 3.74


Note
: Top Performing Schemes with the highest returns have been highlighted in bold.
3 year and 5-year returns are annualised. Data as on May 18, 2020.
 

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