In the year 2025, ICICI Prudential Pension Fund was the National Pension System (NPS) top manager, thanks to the outstanding 15.51% a year return over the five years. Selecting a PFM that provides the highest performance and a longer-term investment horizon becomes the necessity as the retirement planning becomes the priority for so many Indians.
Top Pension Fund Managers in 2025
The following provides a brief comparison of the top PFMs in the NPS Tier-I scheme based on 5-year returns:
| Pension Fund Manager | Fund Size (₹ Cr) | 5-Year Returns (p.a.) | Subscribers |
|---|---|---|---|
| ICICI Prudential Pension Fund | ₹14,023 | 15.51% | 5,37,583 |
| LIC Pension Fund | ₹8,563 | 15.16% | 3,38,689 |
| HDFC Pension Fund | ₹38,274 | 15.04% | 14,05,208 |
| SBI Pension Fund | ₹27,746 | 13.54% | 12,74,750 |
All numbers shown are from the most aggressive equity-based schemes, which are the highest returns providers but have also the moderate risk level.
Why It Matters for Investors
The proper selection of pension fund manager influences:
- Retirement corpus growth: More savings at the time of retirement through higher returns.
- Risk management: Lower volatility in some PFMs that offer balanced schemes.
- Tax benefits: NPS Tier-I account investments qualify for deductions under Section 80C and 80CCD.
It is pretty much the same for salaried people and self-employed professionals in that picking the right PFM that does well can make a big difference in their financial security after retirement.
Expert Insights
The financial planners suggest assessing fund performance every 2–3 years. “Don’t just go for the name of the brand—check for consistent returns, fund size, and asset allocation,” says CA Mohammed Chokhawala, a pension strategist.
Investors have the option of switching PFMs once a year through the NPS portal, which provides the flexibility to adapt to the changing market conditions.
Conclusion
The Pension Fund Manager Comparison 2025 confirms the presence of ICICI Prudential, LIC, and HDFC among the top contenders to provide the best returns under NPS. The leading figure of 15.51% by ICICI makes it all the more necessary for the investors to take into account their performance measures, risk profile, and investment horizon before deciding. A PFM selected with wisdom today guarantees you a secure and pleasant retirement tomorrow.
