PFRDA considers issuing on-tap licences for pension fund managers

As of now, licences are to be renewed every five years

The Pension Fund Regulatory and Development Authority (PFRDA) was considering issuing on-tap licences to fund managers, against the current practice of coming out with request for proposals (RFPs) every five years. It is also planning to double the minimum capital requirement of pension fund managers, from Rs 25 crore to Rs 50 crore.

Hemant Contractor, outgoing chairman of the PFRDA, told Business Standard, “We will issue new RFPs for pension fund managers. So far it is every five years. Now, we want to make it ‘on-tap’. Anybody who is eligible could apply. Licences once issued would continue for life.”

Under the on-tap