National Pension Scheme is one of the most affordable market linked retirement plan among all other Retirement plans (EPF, PPF and Mutual Funds) which explains that it would have achieved extreme number of sales, but this was not possible and the reason for the same was intensively less payment of incentive/commission to the intermediaries, it is not getting popularized by them.

The time when the scheme was launched was disadvantageous, the fund management charge was some degree of next to 0.0009 for every cent as well as points of presence, or PoPs, where investors open the account, were not permitted to charge more than Rs 20 per account, regardless of how big the investment was. Then there was an account opening charge of Rs 50 for the central record-keeping agency, or CRA, in addition to an annual CRA fee of Rs 225.

The fund management fee for non-government funds has now increased to 0.25 per cent and for government funds it has increased 0.0102 per cent. Also, POPs are permitted to charge Rs.100 plus 0.25 percent of the investment. This change will surely act as an encouragement for the agents who will now actively market the product.