New Delhi: There was no discussion on the proposal to increase the investment limit in equity from 15% to 20% in the meeting of the Employees' Provident Fund Organization (EPFO) held on July 30. Because of this, only 15% of the total deposited amount will be invested in EPF as before. This has shocked those investors who were expecting higher returns in two EPFs.
The EPFO trustees agreed that raising the limit for investment in equities could lead to higher returns. Now in the next meeting to be held in September, the discussion on increasing the investment limit can be done. At present, the government is paying an interest rate of 8.1% per annum on EPF, which is the lowest return on EPF since 1977-78.
That's why the investment limit was not increased: Given the ongoing volatility in the market, trade organizations were opposed to increasing the investment limit in equities. Had the investment limit been increased, there could have been a ruckus in the Parliament.
EPFO has started the facility of submission of Digital Life Certificate. Under this, more than 73 lakh pensioners of EPFO will be able to submit life certificates i.e. life certificates through face authentication (face verification) from anywhere. This will benefit the elderly and pensioners who face difficulties in doing biometric verification due to age.
Calculator launched: Pension and Employee Deposit Linked Insurance Scheme calculator has also been launched, which will help people to calculate pension and death-related insurance benefits online.
Pensioners will be able to submit digital life certificates through face authentication, no discussion on increasing the investment limit, and only 15% will be invested in stocks
