PFRDA taps mutual fund distributors to widen NPS reach via StAR platform

The Pension Fund Regulatory and Development Authority (PFRDA) is encouraging mutual fund distributors (MFDs) to onboard customers into the National Pension System (NPS) using the StAR NPS digital platform. PFRDA Chairperson Sivasubramanian Ramann told an outreach programme in Chennai that MFDs already hold customer trust, which the pension ecosystem needs. The platform, launched by BSE Technologies, allows assisted digital onboarding through Points of Presence (PoPs) and their agents, including MFDs.

Under StAR NPS, subscriber details are captured electronically, KYC is done via C-KYC or DigiLocker, and the initial contribution goes directly to the NPS Trustee Bank, bypassing the PoP's account. The Permanent Retirement Account Number is generated through central recordkeeping agencies. The onboarding charge is Rs 200 plus taxes, and subscribers cannot be charged anything extra. Platform costs are borne by the PoP. MFDs act only as facilitators, while the PoP remains responsible for compliance and grievance redressal.