Reliance Pension Fund exits NPS after Nippon Life increases stake in RNam

Reliance Capital Pension Fund has voluntarily offered back the license

Reliance Capital Pension Fund (RCPFL) on Friday ceased to act as pension fund manager. Nippon Life's move to increase its stake in Reliance Nippon Life Asset Management Company (RNam), has led to RCPFL's exit from the National Pension System (NPS).

According to a note by RNam, the sponsor company cannot breach the 49 per cent-mark as per the guidelines of Pension Fund Regulatory and Development Authority (PFRDA). The sponsor limit was getting breached with Nippon Life increasing its stake in RNam to 75 per cent.

"The PFRDA guidelines on foreign direct investment doesn't allow sponsor company to breach the 49