Govt guarantees 8.30% to seniors for 10 years

In combination with other assured return options as the maximum investment permitted is quite small

The newly launched Pradhan Mantri Vaya Vandana Yojana (PMVVY) ticks many of the boxes that investors seek in a pension product. It offers a guaranteed return of 8 per cent monthly (effective rate of 8.30 per cent annually) for 10 years. But, the maximum investment limit of Rs 7.5 lakh will prove grossly inadequate for most middle-and upper-class senior citizens. Hence, financial planners suggest it should be used by them in combination with other income-yielding products. 
 

The effective guaranteed return of 8.30 per cent for 10 years is the biggest advantage of the scheme, given that interest rates could decline