“The superior returns, attractive tax benefits, and low charges make for a strong customer proposition for investing in our pension products. With our AUM crossing the threshold of Rs. 50,000 cr., the effective Fund Management Charges for our subscribers will reduce further, making the product more cost effective,” said Sriram Iyer, Chief Executive Officer, HDFC Pension
Mumbai:
HDFC Pension Management Company, the No. 1 pension fund manager managing NPS assets (in the non-government sector) has become the first such manager of the 10 appointed under the National Pension Scheme to cross the Rs 50,000 crore assets under management mark.
The company, which has the largest number of subscribers in retail and corporate segments has grown 400 per cent in the last three years.
While it took almost seven years to achieve the first Rs 10,000 crore AUM, the company added the next Rs 10,000 crore in just 13 months. The next Rs 10,000 crore was added in less than a year (10 months) while the next Rs 10,000 crore was achieved in just 6 months.
The rapid growth of the fund manager can be seen in the company adding the most recent Rs 10,000 crore AUM in a record time of just four months.
It has over 16 lakh subscriber base and 2/3rd of its subscribers are retail while the rest are corporate and government employees, said Sriram Iyer, Chief Executive Officer, HDFC Pension.
The company has given a return of 12.29 per cent in its equity schemes, 9.25 per cent in corporate bonds and 9.45 % in government securities.
“The superior returns, attractive tax benefits, and low charges make for a strong customer proposition for investing in our pension products. With our AUM crossing the threshold of Rs. 50,000 cr., the effective Fund Management Charges for our subscribers will reduce further, making the product more cost effective,” said Sriram Iyer, Chief Executive Officer, HDFC Pension.
It also acquires retail NPS accounts through a dedicated Business correspondent channel, PoP sub entities and through online channels.
HDFC Pension, apart from being a Pension Fund manager, is also a PFRDA licensed Point of Presence (PoP) since 2019. In a matter of under four years, the company has risen to become the second largest Corporate NPS PoP (net of own employees) with over 2 lakh subscribers across 2000+ PSU and Private sector companies.