Equity exposure cap for govt staff raised to 75%

TO ENHANCE FLEXIBILITY in retirement planning, the Centre has allowed Life Cycle 75 (LC 75) and Balanced Life Cycle (BLC) options for central government employees under the market-linked National Pension System (NPS) and the guaranteed Unified Pension Scheme (UPS) under the default option. The move raises the equity exposure limit to 75% from the earlier 50%.

- FE BUREAU

In LC 75, the maximum equity allocation will be 75%, which will gradually taper from age 35 to 55. In LC 50, the maximum equity allocation will be 50%, tapering gradually over the same age range.