Government Notifies New Life Cycle Fund Options Under NPS and Unified Pension Scheme:

Government Notifies New Life Cycle Fund Options Under NPS and Unified Pension Scheme The Ministry of Finance (Department of Financial Services) recently issued a notification on November 13, 2025 regarding an amendment to an earlier notification. In partial modification of the Ministry of Finance’s (No. 5/7/2003-ECB&PR) dated December 22, 2003 as amended through the Ministry of Finance’s (Department of Financial Services) Notification (No. 1/3/2016-PR) dated January 31, 2019, and the Ministry of Finance’s (Department of Financial Services) Notification (No. 1/3/2024-PR) dated January 24, 2025. The Central Government introduce changes to the rules so that Central Government employees (who are part of the National Pension System (NPS) or the Unified Pension Scheme) have more options for investment. Following are amendments in the Ministry of Finance Notification:

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The following sub-clause will be placed under para 1(vii)(c) of the said notification after sub-clauses (A) and (B): (C) Aggressive Life Cycle Fund with maximum exposure to equity capped at 75% - LC-75 (D) Balanced Life Cycle Fund with maximum exposure to equity capped at 50%, with tapering of equity component commencing from the age of forty-five years- BLC. For complete information refer to the official notification-