{"id":8212,"date":"2026-10-26T12:37:10","date_gmt":"2026-10-26T07:07:10","guid":{"rendered":"https:\/\/1finance.co.in\/1f-dashboard\/?post_type=blog&p=8212"},"modified":"2026-10-26T12:42:51","modified_gmt":"2026-10-26T07:12:51","slug":"tata-pension-fund-nps-review","status":"publish","type":"blog","link":"https:\/\/1finance.co.in\/1f-dashboard\/blog\/tata-pension-fund-nps-review\/","title":{"rendered":"Tata Pension Fund NPS review: returns, portfolio and fees (2026)"},"content":{"rendered":"

Tata Pension Management started running NPS money in August 2022. Its regular Tier I E, C and G schemes hold about \u20b98,400 crore.<\/p>\n

In four years, it has produced the best 3-year equity return in NPS. Its bond schemes are below average so far.<\/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\u20b94,146 crore<\/td>\n9.99% (1 of 9)<\/td>\n\u2013<\/td>\n\u2013<\/td>\n<\/tr>\n
Scheme C (corporate bonds)<\/td>\n\u20b91,866 crore<\/td>\n7.41% (6 of 9)<\/td>\n\u2013<\/td>\n\u2013<\/td>\n<\/tr>\n
Scheme G (government bonds)<\/td>\n\u20b92,399 crore<\/td>\n5.95% (8 of 9)<\/td>\n\u2013<\/td>\n\u2013<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Returns for Tier I as on 18 September 2026; assets from Value Research, October 2026. “\u2013” means the fund has not completed that period.<\/em><\/p>\n

Scheme E (equity)<\/h2>\n\n\n\n\n\n\n\n
Period<\/th>\nTata<\/th>\nBenchmark<\/th>\nAverage of all funds<\/th>\nRank<\/th>\n<\/tr>\n<\/thead>\n
1 year<\/td>\n-3.06%<\/td>\n-3.95%<\/td>\n-5.09%<\/td>\n3 of 10<\/td>\n<\/tr>\n
3 years<\/td>\n9.99%<\/td>\n8.56%<\/td>\n8.10%<\/td>\n1 of 9<\/td>\n<\/tr>\n
Since inception<\/td>\n11.52%<\/td>\n\u2013<\/td>\n\u2013<\/td>\n\u2013<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Tata’s 3-year return of 9.99% is the best of all ten funds, 1.43 percentage points a year above the benchmark. It also held up better than most over the past year, ranking third at -3.06% against the benchmark’s -3.95%. Since launch, the scheme has returned 11.52% a year.<\/p>\n

The portfolio is 96.66% equity, with 2.62% in cash.<\/p>\n

The caveat is time. Three years covers roughly one market cycle, and 3-year rankings don’t reliably predict 10-year ones: HDFC ranks fifth over 3 years but first over 10.<\/p>\n

Scheme C (corporate bonds)<\/h2>\n\n\n\n\n\n\n\n
Period<\/th>\nTata<\/th>\nBenchmark<\/th>\nAverage of all funds<\/th>\nRank<\/th>\n<\/tr>\n<\/thead>\n
1 year<\/td>\n4.89%<\/td>\n4.90%<\/td>\n5.26%<\/td>\n8 of 10<\/td>\n<\/tr>\n
3 years<\/td>\n7.41%<\/td>\n7.05%<\/td>\n7.50%<\/td>\n6 of 9<\/td>\n<\/tr>\n
Since inception<\/td>\n6.99%<\/td>\n\u2013<\/td>\n\u2013<\/td>\n\u2013<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

The corporate bond scheme ranks sixth of nine over 3 years and eighth of ten over 1 year. It beat the benchmark over 3 years and came within 0.01 points of it over 1. The portfolio is 76.23% AAA-rated and 14.79% AA-rated, with 6.92% in cash.<\/p>\n

Scheme G (government bonds)<\/h2>\n\n\n\n\n\n\n\n
Period<\/th>\nTata<\/th>\nBenchmark<\/th>\nAverage of all funds<\/th>\nRank<\/th>\n<\/tr>\n<\/thead>\n
1 year<\/td>\n2.58%<\/td>\n3.43%<\/td>\n2.93%<\/td>\n10 of 10<\/td>\n<\/tr>\n
3 years<\/td>\n5.95%<\/td>\n6.75%<\/td>\n6.25%<\/td>\n8 of 9<\/td>\n<\/tr>\n
Since inception<\/td>\n6.47%<\/td>\n\u2013<\/td>\n\u2013<\/td>\n\u2013<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Government bonds are Tata’s weakest scheme so far. It ranks last over 1 year and eighth of nine over 3 years, below the benchmark on both.<\/p>\n

The portfolio is 94.97% sovereign but concentrated: its largest holding, a 6.90% government bond maturing in 2065, is 19.25% of the fund. That is the second-highest single-bond weight among the ten.<\/p>\n

MSF schemes<\/h2>\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
Smart Retirement – I<\/td>\n70%-100%<\/td>\n24.95<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

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

Smart Retirement holds 70% to 100% in equity and has \u20b925 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