HDFC Life MD & CEO Amitabh Chaudhary, whose company is one of the fund mangers under NPS, said NPS penetration has not reached the desired level as expected in the country due to various reasons including low awareness, low packages, as well as inability to reach the untapped segment.Also, the reason why it is not selling because we are tying to attract the segment of people who have never invested in a product like this. Chudhary also said that there is a lack of connect between the subscribers and the fund managers and it needs to be bridged.
He also batted for tax incentives to further widen the reach of the product in the country.
Currently, NPS has more than 1.14 crore subscribers with asset under management of more than Rs. 1.09 lakh crore.
source:The Financial Express , New Delhi, 5-02-16, page 10