InvestorQ : What could be the impact of pension funds being allowed to invest in IPOs of Indian companies?
NISHA Nayak made post

What could be the impact of pension funds being allowed to invest in IPOs of Indian companies?

Answer
image
Priyanka N answered.
2 weeks ago
Follow

If all goes well, we could see pension funds investing in IPOs a tad more aggressively. To begin with, pension funds will only invest in the new issues / FPOs / OFS issues of the NSE 200 companies. Alternatively, such stocks must be available in F&O with market cap of over Rs.5,000 crore.

In addition, it is also proposed to allow people to withdraw their pensions via systematic withdrawal plans or SWPs, as is the case with mutual funds while the current NPS withdrawal system is too rigid. It is very likely that the PFRDA may also start to regulate superannuation funds in India.

7 Views