NPS vs Mutual Funds: The Better Choice to Set Up Your Retirement Corpus

Retirement planning must start early (archive photo)

What is a better means of building your retirement corpus: NPS or mutual funds?

With NPS you can divide your money between equity funds (E), government bonds (G) and corporate bonds (C). There is also asset class A, which gives you exposure to alternative assets such as REITs, INVITs and AIFs.

You can opt for ‘active choice’, where you determine the distribution among different investment categories or funds (E, C, G, A). The maximum equity allocation can be 75 percent and so on

First print: April 25, 2024 | 4:07 PM IST