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KFintech NPS - Open NPS Account Online | National Pension System

National Pension Scheme (NPS) is a government-sponsored pension scheme to provide income security for all sector citizens. Apply for National Pension System Online at NPS KFintech.

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National Pension Scheme (NPS) is a government-sponsored pension scheme to provide income security for all sector citizens. Apply for National Pension System Online at NPS KFintech. KFin delivered the first NPS API stack, an Agent platform, seamless subscriber onboarding, and extensive CRM features. With a comprehensive array of services delivered end-to-end by KFin, the NPS ecosystem players can focus on the delivery of pension services through superior subscriber management.

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Open NPS Account Online | NPS Account Opening | KFintech

National Pension Scheme (NPS) is a government-sponsored pension scheme to provide income security for all sector citizens. Apply for National Pension System Online at NPS KFintech.

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KFintech NPS - Open NPS Account Online | National Pension System

National Pension Scheme (NPS) is a government-sponsored pension scheme to provide income security for all sector citizens. Apply for National Pension System Online at NPS KFintech.

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NPS KFintech - Open NPS Account Online | National Pension System

National Pension Scheme (NPS) is a government-sponsored pension scheme to provide income security for all sector citizens. Apply for National Pension System Online at NPS KFintech.

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NPS KFintech - Open NPS Account Online | National Pension System

National Pension Scheme (NPS) is a government-sponsored pension scheme to provide income security for all sector citizens. Apply for National Pension System Online at NPS KFintech.

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NPS KFintech - Open NPS Account Online | National Pension SystemNational Pension Scheme (NPS) is a government-sponsored pension scheme to provide income security for all sector citizens. Apply for National Pension System Online at NPS KFintech.

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NPS KFintech - Open NPS Account Online | National Pension System

National Pension Scheme (NPS) is a government-sponsored pension scheme to provide income security for all sector citizens. Apply for National Pension System Online at NPS KFintech.

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NPS with its tax benefits can help you reduce your taxable income by quite a bit. However, it is appropriate for you to invest in NPS as a tax saving option. It is a great product to build a corpus for your retirement thanks to its low cost and flexibility. So invest for the right reason.

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Why Kfintech?

KFintech’s asset management platforms are the leading investor and Issuer servicing platforms. Our platforms are highly resilient, secure and scalable even as they are built on mobile-first micro services architecture driven and cloud-ready frameworks. KFintech has country specific platforms for asset classes of Mutual Funds, ETFs, Alternatives and Pensions for investor servicing & equities and bonds for issuer servicing. KFintech platforms and data are hosted in Tier IV data centers.

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Wealth management is the process of helping individuals and families manage their financial assets throughout their life cycles. Wealth managers are financial advisors who specialise in managing your assets by providing financial advice such as managing your investment portfolio and insurance needs, providing estate planning advice, assisting you with your financial plan, and more. Wealth management services will typically incorporate both financial planning and investment management into their service offerings.

Here’s what you need to know about selecting a wealth management service.

Know your investment needs and wants

One of the most important things you can do before selecting a wealth management service is to understand your investment needs and wants. You can do this by asking yourself a few questions.

First, how much do you currently have to invest? What is your risk tolerance? How soon do you plan on needing this money? Answering these key questions will help you determine if you want to select an advisor who focuses on financial planning, investment management, or a combination of both.

If you are looking for a financial advisor who focuses on financial planning, you will likely have a more in-depth discussion about your overall financial situation. This can include a review of your current financial situation, financial goals and current financial situation.

If you are looking for investment management, an investment management service will likely have a more limited discussion about your overall financial situation.

Don’t forget the importance of research and due diligence

Once you have an idea of what type of wealth management service you are interested in, you need to do your due diligence to make sure you are selecting the right one. You can do this by researching investment performance, the track record of the advisors, and any malpractice or regulatory issues that might be on record.

Additionally, you will want to make sure your advisor has a strong track record. You can do this by looking at the overall performance of their investment management services. Investment management services have been around for about 20 years, before which, financial advisors mainly focused on financial planning. A track record of at least 10 years should give you a good understanding of their capabilities

Finding The Right Fit For You

One of the most important things to keep in mind when you are selecting a wealth management service is that there is no ‘one size fits all’ solution. It is important to find a service that will work best for you. While some of these are broad categories, each category has different subcategories with different services.

For example, hybrid advisors are different from financial planning firms. There are many different types of wealth management services. The most common services are financial planning firms, hybrid advisors and investment management firms.

Financial Planning Firms – Financial planning firms focus mainly on financial planning. They will typically help you with things like creating a financial plan and budget, taxes, insurance and net worth calculation. They may also help you with your investment portfolio, but this is not their main focus.

Hybrid Advisors – Hybrid advisors are a combination of financial planning firms and investment management firms. They will typically help you with your financial plan as well as your investment portfolio.

Investment Management Firms – Investment management firms focus mainly on managing your investment portfolio. They will typically work with you to identify where you want your money to be invested and then manage that portfolio for you.

They will also typically make recommendations on when to buy and sell securities within your portfolio.

When it comes to your personal finances, there is no one-size-fits-all solution. Everyone has different needs and wants at different points in their lives. This is why so many people are looking for customised services when it comes to wealth management. Finding a wealth manager is just one half of it. You would also need to keep a track of your investments, and when you become adept at investing, put your money in the instruments of your choice. KFintech’s KPRISM platform can help you keep a track of your portfolio and manage your investments safely. Learn more about it here.

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After you’ve completed your financial planning, you may still have some questions that are left unaswered. Should you invest a lumpsum in mutual funds or should I opt for equity, liquid, or debt funds? What is the best place to invest your lumpsum in? If you are still not sure about how to start investing, then consider the factors below when you plan to invest.

5 things you can consider when you make lump sum investments:

Market Timing –  

If you are preparing to invest whilst the market is volatile, it is possible that the value of your investment may go down. Seeing your investment go down over the course of a few days, even by a few percentage points, can be unsettling especially if you have invested a large corpus.  

It is advisable to invest in lumpsum in equity funds when the price-earnings ratio is at lower levels. Your investments are safer when P/E levels are low.

Money Market Plan –

A money market fund can earn over 6% interest on an annual basis and they can be a great option to park your funds.

You can also park in debt funds provided you are convinced that inflation and bond yields are headed down rather than up. After all, bond prices are negatively related to bond yields and debt funds are generally underperformers in times of rising rates and rising bond yields.

Long Tenure Investment –

If you are looking for a long-term investment commitment, then a lumpsum investment is a good option for you. The probability of losses is minimised since you avoid short term fluctuations of a volatile market when you’re invested for the long term. The chances of earning higher returns increases when you stay invested for 10 or more years.  

Debt Funds –

The potential of equity funds is higher, but they can be volatile due to their dependence on the performance of the market. You can, however, reduce the overall risk by investing in debt funds. Debt mutual funds involve bonds, securities, and other money market instruments. The chances of these instruments failing are considerably less, so your investment is comparatively safer, thereby making debt mutual funds low-risk investments.

Systematic Transfer Plan (STP) –

With an STP, you can invest a lump sum amount in debt funds and systematically transfer a small portion of the fund into equity or hybrid funds periodically. In this way, you can minimize the risk associated with equities by spreading the investment out over a few months rather than investing the entire amount at one point.

Key Takeaways:

Investing in a lump sum amount can be very rewarding if done right.

Analyse your financial goals before you invest.

Make sure that you do not have an immediate requirement of money and are willing to keep your amount locked for the next 7 to 10 years.

If you are not sure, please consult a financial advisor or use an investment calculator to estimate your earnings.

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5 Tips For Choosing The Right

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Mutual Fund Services | KFintech KCRA

KFintech is the largest RTA and a market leader in the financial sector. We specialize in Mutual Funds KFintech serves the mission-critical needs of asset managers with clients spanning mutual funds, AIFs (alternative investments), pension, wealth managers and corporates in India and abroad. The company provides SaaS based end-to-end transaction management, channel management, compliance solutions, data analytics and various other digital services to asset managers across segments, as well as outsourcing services for global players.

https://www.kfintech.com/

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Investing 101 - All About National Pension System Accounts

Retirement is one of the most crucial milestones in the life of an individual which calls for a lot of planning and disciplined saving. It is essential to have a sustainable plan in place to ensure that life after retirement proceeds smoothly, without any hindrance. A proper retirement plan is achieved by investing/becoming a part of a retirement scheme from an early age which ensures that on retirement, the individual would be entitled to a regular stream of income that is accumulated by building a sufficient retirement corpus over the tenure of investment. Retirement plans like the National Pension System introduced by the Government of India has proven to be beneficial for individuals thinking of a suitable retirement plan.

The National Pension System (NPS) can be defined as a defined contribution retirement savings scheme that is tailored to allow an individual to make the best financial decisions on their future by making systematic savings during their work tenure. NPS has been created with the attempt of creating a lasting solution to the issue of adequate income after retirement.

Under the National Pension System, the investments are pooled in to form a pension fund which is further invested by the Interim Pension Fund Regulatory & Development Authority (PFRDA) regulated professional fund managers. These investments are made under the approved guidelines in a diverse portfolio that comprises of government bonds, bills, corporate shares and debentures. These investments would eventually grow and accumulate, ultimately proving returns according to the investments made. Furthermore, investments with the National Pension Scheme also provides tax redemptions which allows saving substantial funds for the investor.

The National Pension System offers a broad range of options for investing along with the choice of Pension Fund Manager (PFMs) for planning the optimum growth of the investments made by the individual. This planning is done according to the regulations set by the PFRDA and allows the returns to be entirely market-related. The investors in NPS can also benefit from being able to switch between investment options, in compliance with the regulatory restrictions.

Once an investor subscribes to the National Pension Systems, and gets an account opened, they are given a Permanent Retirement Account Number (PRAN) which is a unique identifier and remains with the subscriber throughout their lifetime. The NPS accounts comprise of two tiers:

Tier I Account 

While the features and the structure of both Tier I and Tier II accounts are similar, the difference is that a Tier I account is mandatory for a Tier II account to be opened. A Tier I account requires a minimum contribution of ₹500 during the account opening procedure, and is primarily used for retirement savings. On retirement, the investor is allowed to withdraw 60% of the accumulated amount as a lump-sum, and the remaining 40% is used to purchase annuities that creates a regular monthly income in the form of a pension.

Tier II Account

A Tier II account under the National Pension System is an open account which lets funds to be withdrawn as and when deemed necessary by the investor. The entire corpus can be withdrawn or the investor can choose to withdraw the same in multiple withdrawals, whichever suits them the best. 

The major difference between the Tier I and Tier II accounts under the National Pension Scheme is that for the Tier 1 accounts, it is mandatory to make payments at least once every year. This is not applicable for a Tier II account since there is no lock-in period. Therefore, the account holders have the freedom to skip on the payments for a year. Alongside, similarly to a savings account, a Tier II account with the National Pension System allows funds to be withdrawn whenever needed.

In case you do not have a proper retirement plan in place, you might want to look into the National Pension Scheme service provided by KFintech. We are one of the most accessible National Pension System service providers, associated with 1,000+ corporations and over 75 PoPs. If you are interested in opening your National Pension Scheme account, you can learn more about NPS by KFintech here.

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Do You Know the NPS Scheme Eligibility Criteria?

The National Pension System (NPS) Scheme is a portable retirement savings account which is flexible, low cost and easy to access. An initiative by the Government of India, it offers retirement benefits to its subscribers. This scheme also provides tax redemption benefits under Sections 80C and 80CCD of the Income Tax Act. It is regulated by the Pension Fund Regulatory and Development Authority (PFRDA), and being associated with the central government, this scheme provides the benchmarks for trusted and assured returns.

An investor subscribed to the NPS scheme has the option of contributing to their retirement account on their own, in addition to a contribution from their employers in the form of social security. The framework of the National Pension System is built in such a manner that any contributions made by the investor accumulate in their account, which is then invested into versatile portfolios by pension fund managers vetted by the PFRDA.

Other than the main benefit of the NPS scheme, which is being regulated by the PFRDA, a government body, there are several other advantages provided by the NPS Scheme. One of the most crucial, are the tax redemption advantages presented to the investor. Under the Income Tax Act of 1961, all subscribers to the NPS Scheme are eligible to receive tax rebates. Furthermore, subscription to the NPS also provides investors with optimum market-based returns according to their investment choices. The NPS Scheme is also amongst the lowest charging pension schemes that also allows it’s subscribers to access their NPS accounts 24X7, to maintain complete transparency and to provide mandatory public disclosures.

To subscribe to the NPS Scheme, all investors need to be a citizen of India, irrespective of them being Indian residents or not (NRI or OCI). The conditions for eligibility are:

The applicant must be between the age of 18-70 at the time of application.

The applicant must comply with the Know Your Customer (KYC) norms as mentioned in the Subscriber Registration Form. It is mandatory that the documents required for KYC compliance be submitted as and when required

The NPS Scheme was put into effect by the Central Government from January 1, 2004, for all it's employees, with the exception of the armed forces. This means that all employees of the Central Government who have joined since, are covered under the National Pension System. Along with the government bodies directly under the Central Government, the employees working under Central Government Autonomous Bodies (CABs) are also covered by the NPS Scheme.

Along with the Central Government, numerous State Governments have also undertaken the National Pension System as a retirement scheme for their employees. To be eligible for the NPS scheme under the State Governments, the particular State Government would have to be among the ones who have adopted the framework. The same format is also applicable for the State Government Autonomous Bodies (SABs).

The National Pension System is also available for corporate entities. For the corporate model to be applicable, the entity must be registered under the Companies Act or under a number of Co-operative Acts. The entity can also be either a Central Public Sector Enterprise, or a State Public Sector Enterprise. The NPS Scheme is available to a corporate entity even when it is a registered Partnership Firm or a registered Limited Liability Partnership (LLP). Proprietorship concerns and trusts are also eligible to be a part of the NPS Scheme. For investors who are a part of the corporate entity, the individual must be between the age of 18-70 years and be in compliance with the KYC norms.

If you are looking for a suitable  retirement  plan and are eligible for the NPS Scheme, look no further. With a strong physical and digital presence, the National Pension System is one of the most accessible retirement schemes.

Hurry and become a part of this government initiative here at KFintech.