tag:blogger.com,1999:blog-19649274.post760640225168377485..comments2024-03-18T08:59:55.045+05:30Comments on The Leap Blog: Important step backwards for pension reforms in IndiaAjay Shahhttp://www.blogger.com/profile/03835842741008200034noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-19649274.post-56288230187554092182012-08-01T21:31:04.209+05:302012-08-01T21:31:04.209+05:30Ajay sir
According to my observations, with what ...Ajay sir<br /><br />According to my observations, with what vision NPS was brought - it is not able create the real impact on India market because of lack of awareness among people about its features and benefits, further transparency in select the fund managers and their investment mechanism is not crystal clear. <br />As you rightly said that fees composition will make negative impact on the investment population. There is a need for expert committee to be formed to resolve the complexity. When other countries are able to give lot of attain towards pension fund management, why Government is not taking any dynamic steps- investing in equity or bond market, exemption from fees, exemption from tax burden.<br />--<br />Regards<br /><br />VanishreeVanishreehttps://www.blogger.com/profile/05088346848524541143noreply@blogger.comtag:blogger.com,1999:blog-19649274.post-1990826373586030762012-07-13T23:19:06.588+05:302012-07-13T23:19:06.588+05:30Ajay,
Conceptually what you point out is correct ...Ajay,<br /><br />Conceptually what you point out is correct and valid. <br /><br />In reality, even in the currently prevalent format, the NPS fund managers invest in an underlying Index Fund of the Mutual Fund. This underlying Index Fund has a expense structure not comparable to the touted 0.0009% of NPS. And this is prevalent even though the NPS Fund Manager had the choice of buying an Index ETF with a significantly lower expense structure.<br /><br />I hope I am able to make my point.<br /><br />Regards,<br /><br />Manoj NagpalManoj Nagpalnoreply@blogger.comtag:blogger.com,1999:blog-19649274.post-84904820515259917572012-07-13T13:13:55.505+05:302012-07-13T13:13:55.505+05:30NPS is slowly losing it's unique features.Toda...NPS is slowly losing it's unique features.Today it does not look very different from pension plans offered by insurance companies and mutual funds. Do we need then to persist with NPS especially when there is no consensus amongst the political class.<br /><br />D.SwarupAnonymoushttps://www.blogger.com/profile/02094185846122055225noreply@blogger.comtag:blogger.com,1999:blog-19649274.post-47617372094628053272012-07-13T12:10:10.020+05:302012-07-13T12:10:10.020+05:30- Remove barriers to entry in the fund management/...- Remove barriers to entry in the fund management/pension fund business<br />- Remove all tax incentives/distortions for people to invest in these<br />- Deregulate i.e allow businesses to charge anything as long as they disclose upfront.<br />- Focus on severely punishing businesses that cheat.<br /><br />Once you do that, do you think honest/efficient businesses will survive OR inefficient cheats?<br /><br />you claim to be a free market guy and justify govt interference in such an important area on the basis on one research piece?Anonymousnoreply@blogger.com