new delhi the pension fund launched by pfrda will be invested in three kinds of assets equity government bonds and corporate bonds and it is for the investor to decide how much should be invested in each of theseinvestment in equity is however subject to two significant caveats first it cannot be more than 50 of the amount in investors account secondly fund managers cannot invest in shares of individual firms but only in index funds linked to the bses sensex or the nses niftyfor those who would rather leave it to experts to decide what the balance should be there is auto choice option under this option for those aged 1836 50 of the amount in their pension account will be invested in equity 30 in corporate bonds and the remaining 20 in government securities from age 36 onwards the proportion of investments in equity and corporate bonds will decrease annually while that in government securities will increase till the mix reaches 10 in equity 10 in corporate bonds and 80 in government securities at age 55under the scheme you can invest any amount though tax benefits will be available only up to rs 1 lakh under sec 80c the minimum annual contribution however has been mandated at rs 6000 the fund will be managed by six fund managers appointed by the government at annual fees of 00009 of the invested amount which is less than one paise per rs 100 the fund managers appointed by the pfrda are sbi uti asset management icici prudential life insurance reliance mf idfc mf and kotak mahindrato open a pension account you will have to approach the branches of any of the 22 point of presence pop service providers selected by the authority these include state bank of india and all its seven subsidiaries as well as icici bank and punjab national bank pfrda chairman d swarup said that to start with there would be around 300 pops in the country which will soon be ramped up to more than 10000the investors account will be kept by a record keeping agency appointed by the pfrda the investor will need to interact only with the pop where he can deposit his annual monthly contribution the scheme gives investor the option of shifting from one fund manager to another by instructing his pop to do so