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DSP Blackrock to join NPS as fund manager, IDFC pulls out

Last Updated: Tuesday, November 6, 2012 - 16:33

New Delhi: DSP BlackRock Investment Managers (P) Ltd has decided to join as pension fund manager to manage New Pension Scheme (NPS) corpus, while IDFC has pulled out after not renewing its tenure, sources said.

DSP BlackRock Investment Managers, which oversees assets worth over Rs 30,000 crore for DSP Blackrock MF, joins the existing managers -- SBI Pension Funds (P) Ltd, UTI Retirement Solutions Ltd, ICICI Prudential Pension Funds Management Co Ltd, Kotak Mahindra Pension Fund Ltd and Reliance Capital Pension Fund Ltd and LIC Pension Fund LIC (manages only funds of government employees).

The Pension Fund Regulatory and Development Authority (PFRDA) appoints fund managers to manage retirement funds under the New Pension Scheme (NPS).

"DSP BlackRock Investment Managers have decided to join as a Pension Fund Manager to manage NPS corpus under the revised Registration Guidelines-2012, and have also obtained in-principle clearance from PFRDA in this regard," a senior PFRDA official said.

S Naganath, President and Chief Investment Officer, DSP BlackRock Investment Managers could not be reached for comments as he was traveling abroad.

"IDFC decided not to renew its tenure as a Pension Fund Manager which was expiring on October 31, 2012," the PFRDA official said.

IDFC Pension Fund Management Co. Limited was set-up in April 2009 as a joint venture between Infrastructure Development Finance Company Ltd. (IDFC) and IDFC Asset Management Company Private Ltd (IDFC AMC).

Naval Bir Kumar, President & CEO of IDFC AMC, who is a Nominee Director at IDFC Pension Fund did not immediately respond to queries on the company's pull out from NPS.

Based on the recommendations of the ?Expert Committee to determine the Upper ceiling of the Investment Management Fees to be charged by the Pension Fund Managers in the Private Sector of NPS, the upper ceiling of the Investment Management Fees has been recently fixed at 0.25 percent p.A.

Of the Assets Under Management with effect from November 1, 2012. This fee is inclusive of brokerage except Custodian charges and applicable taxes.


First Published: Tuesday, November 6, 2012 - 16:33
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