Press Trust of India | Updated On: May 06, 2015 18:26 (IST) | NDTV Profit
New Delhi: Government has notified a new investment pattern for Employees’ Provident Fund Organisation (EPFO) providing for investment in equity and related instruments, which would entail an investment of Rs 5,000 crore in the equity market annually.
The Central Board of Trustees of the EPF, at a meeting on March 31, deliberated the new pattern of investment notified by Finance Ministry and recommended it for the EPFO, Labour and Employment Minister Bandaru Dattatreya said during Question Hour in Rajya Sabha.
Under the new provision, there is a provision to invest in equity and related instruments, a minimum 5 per cent and maximum 15 per cent of all incremental accretions belonging to the fund, he said while replying to a question by K P Ramalingam (DMK).
“The Central Board of Trustees of EPF, which has, amongst its member representatives from trade unions, employers’ and government representatives, in the above meeting, examined the issue of investment in Exchanged Trade Finds (ETFs) in detail and after considering the various aspects, recommended the proposal to invest in equity,” the minister said.
He said this would entail an expected investment of Rs 5,000 crore annually in the equity market.
Responding to members’ questions, the minister also assured the House that the priority was to safeguard the hard-earned money of the workers.
Source : http://goo.gl/nXLuPc