Archive · 3 Sep 2025
AMFI Proposes Retirement Savings Scheme Based on US Model
Imagine a new way to save for when you retire!
AMFI, a group for mutual funds in India, wants to create a plan like the US 401(k).
This plan, called MF-VRA, lets you save through mutual funds, which are like a collection of investments.
Your employer might also contribute!
You would choose to participate, and the money would be invested to grow over time.
The goal is to help people save enough to have a comfortable retirement, especially with more elderly people in the future.
This aims to offer better financial security for everyone.
AMFI proposed a new retirement savings scheme called MF-VRA.
The product is modeled after the US 401(k) plan.
It is a voluntary, employer-linked retirement product managed by mutual funds.
Key features include tax incentives, portability, and flexibility.
The plan aims to increase pension coverage and boost economic growth.
- Who
- Association of Mutual Funds in India (AMFI)
- What
- Proposed a Mutual Fund-Voluntary Retirement Account (MF-VRA)
- When
- Recent, coinciding with AMFI's 30-year anniversary.
- Where
- India
- Why
- To provide a retirement savings product for employees, similar to the US 401(k) plan.
- Proposed Product Name
- MF-VRA (Mutual Fund-Voluntary Retirement Account)
- Proposer
- Association of Mutual Funds in India (AMFI)
- Modeled After
- US 401(k) plan
- Managed By
- Mutual funds
- Key Features
- Voluntary participation, employer sponsorship, tax incentives, portability, and flexibility
- Current Retirement Schemes AUM
- Rs 29,105 crore
