NPS Bharat Fund of Funds (NB-FoF) is a dedicated Alternative Investment Fund (AIF) focused Fund of Funds established under the NPS framework to channel a portion of NPS assets (Pension Savings) into carefully selected Alternative Investment Funds in India.
It serves as an institutional investor in order to facilitate structured exposure of NPS assets to high-quality AIFs, while ensuring strong governance, risk management, and fiduciary discipline.
The FoF aims to:
- Enhance long-term subscriber returns
- Provide portfolio diversification through alternative assets
- Generate alpha through investment in well-managed AIFs
- Uphold the highest standards of governance, transparency, and fiduciary oversight.
Operationally:
- The FoF functions as a centralized platform offering a single-window application process for eligible AIFs seeking investment, thereby streamlining access and evaluation.
- The structure incorporates a centralized vetting and due diligence framework, while preserving the statutory investment responsibilities of the individual Pension Funds under the applicable regulatory framework.