The Employees’ Provident Fund Organization (EPFO) is expected to increase its equity investment limit from 15% to 25% at its forthcoming board meeting next month, according to persons familiar with the situation.
Regarding this, at its meeting, last month, the Finance Investment and Audit Committee (FIAC) had proposed hiking the equity investment cap in two equal increments of 5% each to provide greater returns for EPF participants.
“At the most recent FIAC meeting, many opportunities and choices, including the potential of raising the investment barrier in shares, were considered. However, no judgment has been made yet since we need more information,” said KE Raghunathan, a member of both the FIAC and the CBT.”A day before the CBT next month, the committee will convene to discuss the topic further,” he added.
The EPFO’s central board of trustees (CBT) will meet for the 231st time on July 8 and 9 in Bengaluru, according to the retirement fund authority. The board might address administrative concerns as well as continue debates and finalize the recommendations of the EPFO’s subcommittees.
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