- National Pension Scheme: Scheme G of NPS invests money in government bonds
- Monthly and annual pension facility is available in NPS after the age of 60 years
National Pension Scheme
new Delhi. Saving for the future is an art. Because only by investing money at the right place, you can get good returns at the time of need. In such a situation, the National Pension Scheme being run by the government is a better option. According to experts, investing in NPS scheme G is quite beneficial rather than other fixed-income investment options. It has given investors up to 12% returns in the last one year. In such a situation, it can prove to be a great scheme for those investing long term.
Feature of NPS Scheme G
Scheme N of NPS has got double-digit returns. This benchmark 10-year G Security Yield has come down from 6.70 per cent to 5.94 per cent. There is an indirect correlation between the bond yield and the bond price. As the yield goes down, the price of Debt Schemes goes up. NPS is a kind of market-linked product, so it keeps on fluctuating, but it is very beneficial for long term investment.
Benefits of NPS
- NPS is a pension scheme. In this, the pension is given after 60 years of retirement age.
- There is an option to close the account when you are 2.60 years of age. At the time of closing the account, a lump sum or as per the need can be withdrawn. The remaining money has to be purchased from an annuity plan.
- If there is Rs 10 lakh in this account and the interest is 6 percent at that time, then the company will give you 60,000 rupees (10 lakh X 6%) every year for a lifetime by taking 10 lakh rupees. If you want a monthly pension then you will get 5,000 rupees every month.