Good time to opt for voluntary provident fund to enhance returns

Liquidity is an issue, but it scores on other parameters

The stock market is going nowhere, debt mutual funds (MFs) are facing redemption pressure due to asset quality risk, and bank fixed deposit (FD) rates are coming down — this, in short, is the tale of an ordinary investor’s portfolio. 

In such times, the employees’ provident fund (EPF) is one of the few avenues that can come to your rescue. With the financial year just starting, you could take this route to enhance your portfolio’s returns. 

As an employee, you contribute a minimum of 12 per cent of your basic pay towards EPF. Over and above this, you can invest