Max Life, Tata Asset bag PFRDA's approval to set up pension funds

PFRDA Chairperson Supratim Bandyopadhyay said on Friday that Tata Asset Management and Max Life Insurance Company have recently received approval from the pension sector regulator for the establishment of pension fund managers.

“Our board approved both of the (proposals) that we got. It will take six months for them to build up their pension plans. One will be pushed by Tata AMC, a mutual fund business, and the other will be promoted by Max Life Insurance, a strong life insurance company “While speaking to the media on NPS Diwas, he stated.

The Pension Fund Regulatory and Development Authority (PFRDA) said in July that pension fund managers might register ‘on tap’.

In the first months of the fiscal year, Bandyopadhyay added, the regulator will allow ‘on tap’ registration.

For the government sector, there are now seven pension fund managers, including LIC Pension Fund Limited, SBI Pension Funds Pvt Ltd, and UTI Retirement Solutions Ltd.

Apart from the government sector, the other four are HDFC Pension Management Co Ltd, ICICI Prudential Pension Funds Management Company Limited, Kotak Mahindra Pension Fund Ltd, and Aditya Birla Sun Life Pension Management Ltd.

Bandyopadhyay expects Parliament to take up the pending revisions to the PFRDA Act during the winter session of Parliament.

He also stated that the numerous National Pension System schemes had experienced strong growth in the coming fiscal year, which began in April.

“As of September 25, 2021, our overall corpus is 6.67 lakh crore. The fund now stands at Rs 5.78 lakh crore, up from Rs 5.78 lakh crore on March 31. According to our internal estimates, we will exceed Rs 7.5 lakh crore by the end of the year. As of September 25, 2021, there were 4.6 crore customers “he stated.