Pension Fund Regulatory and Development Authority (PFRDA) has extended the same-day investment of NPS contributions received by trustee bank up to 1:30 pm. In its latest circular PFRDA said the cut-off time for receipt of NPS contributions by the Trustee Bank for consideration for same-day investment has been extended to 1:30 PM on a Business Settlement Day from the 11 AM cut-off earlier.
Accordingly, NPS contributions received by the Trustee Bank up to 1:30 PM on a Business Settlement Day, which are subsequently matched and booked successfully shall be considered for investment on the same day. Units in respect of such contributions shall be allotted based on the applicable closing Net Asset Value (NAV) of the day, in accordance with the extant regulatory framework.
“The extended cut-off time shall be applicable to all categories of NPS contributions received by the Trustee Bank through various channels, including contributions received from Government Nodal Offices, Points of Presence (PoPs), eNPS, D-Remit, BBPS, UPI, STAR NPS, Tatkal NPS, and such other channels as may be operationalized from time to time,” said PFRDA.
PFRDA has advised all NPS subscribers and associated intermediaries, including Points of Presence (PoPs), Corporates, Government Nodal Offices and Payment Gateway Service Providers (PGSP) facilitating contributions through eNPS, to plan and initiate fund transfers sufficiently in advance so as to ensure that the contributions are received by the Trustee Bank on or before 1:30 PM on a Business Settlement Day.
The pension body said that this move would enable eligible contributions to be considered for same-day investment and thereby facilitating timely investment and ensuring that the benefit of the extended cut-off is passed on to the subscribers.
“All concerned intermediaries are advised to suitably align their operational and technology processes with the revised cut-off time and ensure timely transmission and processing of NPS contributions to facilitate seamless implementation of the same-day investment framework,” said PFRDA in a circular.
