Effective immediately, the changes build on earlier customisation reforms. PFRDA, overseeing ₹15.78 lakh crore and 80 million subscribers, aims for 300 million by 2030.
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India’s pension regulator on
Wednesday issued revised investment rules for the country’s
pension funds, allowing for more diversification in search of
better returns.
The Pension Fund Regulatory and Development Authority
(PFRDA) will now allow private pension funds to invest in the
top 250 stocks by market capitalisation listed on India’s
bourses. Earlier, these funds were allowed to invest in a list
of 200 stocks approved by the trust of the National Pension
Scheme.
Entry into commodities
The PFRDA has also permitted investments in gold and silver
ETFs, giving pension funds the option to diversify into
commodity investments.
The changes were announced in a circular on Wednesday and
are effective immediately.
Expanding pension reach
The revised investment norms are the latest in a string of
measures aimed at increasing the popularity of pension funds by
allowing the private sector to offer a wider suite of options to
savers. Earlier, the regulator had permitted pension fund houses
to offer bespoke schemes to different client segments, based on
their risk profiles.
The private pension fund industry oversees ₹15.78 lakh crore ($175.59 billion) in assets, catering to 80 million
subscribers, with the regulator aiming to expand that subscriber
base to nearly 300 million by 2030.
Published on December 11, 2025
