According to reports from NPS Trust website as of August 25, 2025, HDFC Pension Fund delivered the highest 10-year return of 12.98% among six pension fund managers with a 10-year track record. ICICI Prudential Pension Fund followed closely with 12.87% returns, while Kotak Mahindra Pension Fund and UTI Retirement Solutions recorded 12.70% and 12.50% respectively. LIC Pension Fund and SBI Pension Fund delivered 11.65% and 11.61% returns respectively. The benchmark for Scheme E, which invests predominantly in equities, stood at 13.12%.
As reported by the NPS Trust, despite delivering double-digit annualised returns over the 10-year period, none of the six pension funds outperformed the benchmark return of 13.12%. The performance data covers the six pension fund managers with a 10-year track record: HDFC Pension Fund, ICICI Prudential Pension Fund, Kotak Mahindra Pension Fund, LIC Pension Fund, SBI Pension Fund and UTI Retirement Solutions. The benchmark for Scheme E is linked to equity-market indices with a large-cap orientation.
According to the analysis, the 10-year data shows relatively narrow differences among the leading pension fund managers, with HDFC Pension Fund's return of 12.98% only modestly higher than ICICI Prudential's 12.87%. The gap between the best and worst performers was also relatively limited over such a long period. This suggests that investors should not choose an NPS pension fund manager solely on the basis of small differences in historical returns. NPS returns are market-linked and are not guaranteed, making it essential for investors to consider the fund manager's investment approach, consistency of performance, costs and their own risk tolerance and retirement horizon when selecting a PFM.
