Economics · Financial Regulators of India
Under the Pension Fund Regulatory and Development Authority (PFRDA) Act, 2013, which of the following statements most accurately reflects the regulatory role and specific statutory power of the PFRDA concerning the investment of the National Pension System (NPS) corpus?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
Share:
- 1PFRDA's primary role is to act as the trustee for the accumulated corpus, whereas the investment pattern must be approved by the Securities and Exchange Board of India (SEBI) to ensure market compliance.
- 2PFRDA only oversees the operational aspects of NPS and the investment decisions are fully delegated to the Central Government and the RBI under the RBI Act, 1934.
- 3PFRDA is empowered under the PFRDA Act, 2013, to prescribe the investment guidelines and pattern for all asset classes (E, C, G, and A) of the NPS corpus to ensure safety and optimized returns for subscribers.✓
- 4PFRDA is mandated by the Ministry of Finance to invest the entire NPS corpus only in securities with a credit rating of AAA and can only prescribe investment patterns for the Equity (E) asset class.
Correct answer
PFRDA is empowered under the PFRDA Act, 2013, to prescribe the investment guidelines and pattern for all asset classes (E, C, G, and A) of the NPS corpus to ensure safety and optimized returns for subscribers.
Download Single Question PDF
Save this question and verified answer as a clean study sheet with live clickable link.
👥
Share with Friends & Study Groups
Challenge your peer aspirants on WhatsApp or Telegram to solve this question!
Online Test Series
Start Free Mock Test →Preparing for Economics?
Practice full-length mock tests with real exam timers, instant score analysis, and all-India ranking.
Chapter Practice
Practice Financial Regulators of India MCQs →Want more practice questions on Financial Regulators of India?
Solve complete topic-wise tests with detailed solutions on GkGet.
Related Practice Questions
Recommended practice questions in Economics · Financial Regulators of India