{"id":8209,"date":"2026-10-26T12:36:49","date_gmt":"2026-10-26T07:06:49","guid":{"rendered":"https:\/\/1finance.co.in\/1f-dashboard\/?post_type=blog&p=8209"},"modified":"2026-10-26T15:53:23","modified_gmt":"2026-10-26T10:23:23","slug":"uti-pension-fund-nps-review","status":"publish","type":"blog","link":"https:\/\/1finance.co.in\/1f-dashboard\/blog\/uti-pension-fund-nps-review\/","title":{"rendered":"UTI Pension Fund NPS review: returns, portfolio and fees (2026)"},"content":{"rendered":"

UTI Pension Fund, formerly UTI Retirement Solutions, is one of the original NPS pension funds, running money since 2009. Its regular Tier I E, C and G schemes hold about \u20b912,700 crore.<\/p>\n

UTI has no standout scheme and no badly weak one. It sits in the upper half in equity, does well in government bonds over 3 and 5 years, and is mid-table in corporate bonds. That steadiness makes it a sensible single choice.<\/p>\n

At a glance<\/h2>\n\n\n\n\n\n\n\n
Scheme (Tier I)<\/th>\nAssets<\/th>\n3-year return (rank)<\/th>\n5-year return (rank)<\/th>\n10-year return (rank)<\/th>\n<\/tr>\n<\/thead>\n
Scheme E (equity)<\/td>\n\u20b95,582 crore<\/td>\n8.74% (3 of 9)<\/td>\n8.75% (3 of 7)<\/td>\n11.62% (4 of 6)<\/td>\n<\/tr>\n
Scheme C (corporate bonds)<\/td>\n\u20b92,606 crore<\/td>\n7.61% (4 of 9)<\/td>\n6.41% (5 of 7)<\/td>\n7.39% (5 of 6)<\/td>\n<\/tr>\n
Scheme G (government bonds)<\/td>\n\u20b94,509 crore<\/td>\n6.46% (2 of 9 (tied))<\/td>\n5.84% (2 of 7)<\/td>\n6.88% (5 of 6)<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

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.<\/em><\/p>\n

Scheme E (equity)<\/h2>\n\n\n\n\n\n\n\n\n\n\n
Period<\/th>\nUTI<\/th>\nBenchmark<\/th>\nAverage of all funds<\/th>\nRank<\/th>\n<\/tr>\n<\/thead>\n
1 year<\/td>\n-6.05%<\/td>\n-3.95%<\/td>\n-5.09%<\/td>\n8 of 10<\/td>\n<\/tr>\n
3 years<\/td>\n8.74%<\/td>\n8.56%<\/td>\n8.10%<\/td>\n3 of 9<\/td>\n<\/tr>\n
5 years<\/td>\n8.75%<\/td>\n8.76%<\/td>\n8.44%<\/td>\n3 of 7<\/td>\n<\/tr>\n
7 years<\/td>\n13.62%<\/td>\n14.05%<\/td>\n13.42%<\/td>\n4 of 7<\/td>\n<\/tr>\n
10 years<\/td>\n11.62%<\/td>\n12.37%<\/td>\n11.55%<\/td>\n4 of 6<\/td>\n<\/tr>\n
Since inception<\/td>\n11.80%<\/td>\n\u2013<\/td>\n\u2013<\/td>\n\u2013<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

UTI ranks third over 3 and 5 years and fourth over 7 and 10 years. It beat the benchmark over 3 years and came within 0.01 points of it over 5 (8.75% against 8.76%). Its 10-year return of 11.62% is 0.52 percentage points a year behind HDFC, the leader.<\/p>\n

The past year was weaker: UTI ranked eighth, at -6.05%.<\/p>\n

The portfolio is almost fully invested, at 98.48% equity. Its top holdings are HDFC Bank (7.24%), ICICI Bank (7.00%), Reliance Industries (4.97%), Bharti Airtel (4.30%) and State Bank of India (3.78%). Financial stocks are 33.58% of the portfolio, technology 13.82% and consumer discretionary 13.69%.<\/p>\n

Scheme C (corporate bonds)<\/h2>\n\n\n\n\n\n\n\n\n\n\n
Period<\/th>\nUTI<\/th>\nBenchmark<\/th>\nAverage of all funds<\/th>\nRank<\/th>\n<\/tr>\n<\/thead>\n
1 year<\/td>\n5.59%<\/td>\n4.90%<\/td>\n5.26%<\/td>\n2 of 10<\/td>\n<\/tr>\n
3 years<\/td>\n7.61%<\/td>\n7.05%<\/td>\n7.50%<\/td>\n4 of 9<\/td>\n<\/tr>\n
5 years<\/td>\n6.41%<\/td>\n6.19%<\/td>\n6.43%<\/td>\n5 of 7<\/td>\n<\/tr>\n
7 years<\/td>\n7.37%<\/td>\n7.48%<\/td>\n7.33%<\/td>\n2 of 7 (tied)<\/td>\n<\/tr>\n
10 years<\/td>\n7.39%<\/td>\n7.59%<\/td>\n7.52%<\/td>\n5 of 6<\/td>\n<\/tr>\n
Since inception<\/td>\n8.53%<\/td>\n\u2013<\/td>\n\u2013<\/td>\n\u2013<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

UTI’s corporate bond record is mid-table: second over 1 year, joint second over 7 years, but fourth or fifth over 3, 5 and 10 years. Over 10 years it trails the benchmark slightly (7.39% against 7.59%).<\/p>\n

The portfolio is 81.26% AAA-rated and 10.28% AA-rated. About 3.95% is in REITs and other unrated holdings.<\/p>\n

Scheme G (government bonds)<\/h2>\n\n\n\n\n\n\n\n\n\n\n
Period<\/th>\nUTI<\/th>\nBenchmark<\/th>\nAverage of all funds<\/th>\nRank<\/th>\n<\/tr>\n<\/thead>\n
1 year<\/td>\n3.02%<\/td>\n3.43%<\/td>\n2.93%<\/td>\n5 of 10<\/td>\n<\/tr>\n
3 years<\/td>\n6.46%<\/td>\n6.75%<\/td>\n6.25%<\/td>\n2 of 9 (tied)<\/td>\n<\/tr>\n
5 years<\/td>\n5.84%<\/td>\n5.90%<\/td>\n5.73%<\/td>\n2 of 7<\/td>\n<\/tr>\n
7 years<\/td>\n6.52%<\/td>\n6.41%<\/td>\n6.55%<\/td>\n4 of 7 (tied)<\/td>\n<\/tr>\n
10 years<\/td>\n6.88%<\/td>\n6.86%<\/td>\n7.07%<\/td>\n5 of 6<\/td>\n<\/tr>\n
Since inception<\/td>\n7.91%<\/td>\n\u2013<\/td>\n\u2013<\/td>\n\u2013<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

UTI ranks second over 5 years and joint second over 3 years. Over longer periods it falls back, to joint fourth over 7 years and fifth of six over 10. The portfolio is 95.79% sovereign, the second-highest share after LIC. Its largest holding is a 6.90% government bond maturing in 2065, at 13.56% of the fund.<\/p>\n

MSF schemes<\/h2>\n\n\n\n\n\n\n\n\n
Scheme (as listed by NPS Trust)<\/th>\nEquity range<\/th>\nAssets (\u20b9 crore)<\/th>\n<\/tr>\n<\/thead>\n
Wealth Builder E – I<\/td>\n90%-100%<\/td>\n36.66<\/td>\n<\/tr>\n
Dynamic Asset – Tier I<\/td>\n40%-65%<\/td>\n8.03<\/td>\n<\/tr>\n
Wealth Builder E – II<\/td>\n90%-100%<\/td>\n3.90<\/td>\n<\/tr>\n
Dynamic Asset – Tier II<\/td>\n40%-65%<\/td>\n2.23<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

NPS Trust, as on 30 September 2026.<\/em><\/p>\n

UTI runs two MSF schemes, each in Tier I and Tier II. Wealth Builder holds 90% to 100% in equity; Dynamic Asset is balanced, with 40% to 65%. Together they hold \u20b951 crore. See the MSF comparison<\/a>.<\/p>\n

Fees<\/h2>\n

From 1 April 2026, the investment management fee on regular non-government NPS schemes is slab-based: 0.12% a year on the first \u20b925,000 crore of assets, then 0.08%, 0.06% and 0.04% on higher slabs. MSF schemes can charge up to 0.30%.<\/p>\n

Verdict<\/h2>\n