What’s new in NPS: How retirement income scheme (RIS) changes NPS withdrawal rules
By Tejashree Satpute
NPS
Jun 5, 2026
SBI Pension Funds is one of the original NPS pension funds and the second largest in the private-sector schemes. Its regular Tier I E, C and G schemes hold about ₹78,100 crore. It also had the second-largest subscriber base in Scheme E Tier I, with 22.3 lakh accounts in July 2025.
Its record splits cleanly in two. SBI is strong in corporate and government bonds, and weakest of all ten funds in equity over every long period.
This review covers non-government (All Citizen and Corporate) schemes. SBI also manages government employees’ NPS money, which isn’t included here.
At a glance
| Scheme (Tier I) | Assets | 3-year return (rank) | 5-year return (rank) | 10-year return (rank) |
|---|---|---|---|---|
| Scheme E (equity) | ₹29,060 crore | 6.45% (9 of 9) | 7.47% (7 of 7) | 10.77% (6 of 6) |
| Scheme C (corporate bonds) | ₹17,078 crore | 7.63% (3 of 9) | 6.47% (2 of 7) | 7.62% (2 of 6 (tied)) |
| Scheme G (government bonds) | ₹31,983 crore | 6.45% (4 of 9) | 5.78% (4 of 7) | 7.09% (2 of 6) |
Returns for Tier I as on 18 September 2026; assets from Value Research, October 2026. Rank is among funds with a record for that period.
Scheme E (equity)
| Period | SBI | Benchmark | Average of all funds | Rank |
|---|---|---|---|---|
| 1 year | -4.13% | -3.95% | -5.09% | 4 of 10 |
| 3 years | 6.45% | 8.56% | 8.10% | 9 of 9 |
| 5 years | 7.47% | 8.76% | 8.44% | 7 of 7 |
| 7 years | 12.30% | 14.05% | 13.42% | 7 of 7 |
| 10 years | 10.77% | 12.37% | 11.55% | 6 of 6 |
| Since inception | 10.31% | – | – | – |
SBI ranks last over 3, 5, 7 and 10 years. Its 10-year return of 10.77% is 1.60 percentage points a year below the benchmark and 1.37 points below HDFC, the best fund. Over a decade, ₹1 lakh grew to about ₹2.78 lakh with SBI against ₹3.14 lakh with HDFC.
The last year was better: SBI ranked fourth, with -4.13% against the benchmark’s -3.95%. One good year doesn’t change a ten-year pattern, though.
The scheme is almost fully invested, with 98.30% in equity. Its ₹29,060 crore makes it the third-largest Scheme E book.
Scheme C (corporate bonds)
| Period | SBI | Benchmark | Average of all funds | Rank |
|---|---|---|---|---|
| 1 year | 5.44% | 4.90% | 5.26% | 3 of 10 |
| 3 years | 7.63% | 7.05% | 7.50% | 3 of 9 |
| 5 years | 6.47% | 6.19% | 6.43% | 2 of 7 |
| 7 years | 7.37% | 7.48% | 7.33% | 2 of 7 (tied) |
| 10 years | 7.62% | 7.59% | 7.52% | 2 of 6 (tied) |
| Since inception | 9.28% | – | – | – |
Here SBI is among the leaders. It ranks second over 5 years, joint second over 7 and 10 years, and third over 3 years. It beat the benchmark over 3, 5 and 10 years.
The portfolio is 73.54% AAA-rated and 16.06% AA-rated, with 8.75% in cash. Its largest holdings include bonds of HDFC Bank, Bharti Telecom and ICICI Prudential.
Scheme G (government bonds)
| Period | SBI | Benchmark | Average of all funds | Rank |
|---|---|---|---|---|
| 1 year | 2.93% | 3.43% | 2.93% | 6 of 10 |
| 3 years | 6.45% | 6.75% | 6.25% | 4 of 9 |
| 5 years | 5.78% | 5.90% | 5.73% | 4 of 7 |
| 7 years | 6.58% | 6.41% | 6.55% | 3 of 7 |
| 10 years | 7.09% | 6.86% | 7.07% | 2 of 6 |
| Since inception | 8.60% | – | – | – |
SBI has the second-best 10-year government bond record (7.09%), behind LIC, and ranks third over 7 years. It holds very long bonds: its largest holding is a 7.24% government bond maturing in 2055, at 15.64% of the fund. The scheme is 88.69% sovereign, with 7.74% in cash.
MSF schemes
| Scheme (as listed by NPS Trust) | Equity range | Assets (₹ crore) |
|---|---|---|
| Jeevan Swarna – Tier I | 0%-100% | 59.26 |
| Akshay Dhara – Tier I | 25%-50% | 23.56 |
NPS Trust, as on 30 September 2026.
Jeevan Swarna can hold anywhere from 0% to 100% in equity, so the manager decides how much risk you carry. Akshay Dhara is a balanced scheme with 25% to 50% equity. Together they hold ₹83 crore, the third-largest MSF total. See the MSF comparison.
Fees
From 1 April 2026, the investment management fee on regular non-government NPS schemes is slab-based: 0.12% a year on the first ₹25,000 crore of assets, then 0.08%, 0.06% and 0.04% on higher slabs. MSF schemes can charge up to 0.30%.
Verdict
- Scheme C and Scheme G: consistently in the top three over long periods.
- Scheme E: the weakest record of all ten funds over 3, 5, 7 and 10 years.
- Active choice: SBI is a reasonable pick for C and G. For equity, the records of ICICI Prudential, HDFC, Kotak and UTI are stronger. You can hold up to three pension funds, one per asset class.
- Auto choice: the equity weakness costs most when you’re young and equity is up to 75% of your account. If you’re in auto choice with SBI, compare it with a fund that is stronger in equity.
See where SBI sits in the Scheme E, Scheme C and Scheme G comparisons.
Sources: returns for Tier I as on 18 September 2026, NPS Trust data as published by HDFC Securities. Net assets and portfolios: Value Research, October 2026. Subscribers: NPS Trust snapshot as on 18 July 2025. MSF schemes: NPS Trust. Fees: PFRDA. Past returns do not guarantee future returns.
