Returns from Employees' Provident Fund Organisation's (EPFO) investments in stock markets are not guaranteed by the government as these are subject to market movements, said Shri Bandaru Dattatreyasaid in Rajya Sabha on Wednesday.
The EPFO has entered the equity market through investment in Exchange Traded Funds (ETFs).
The Central Board of Trustees (CBT), Employees' Provident Fund (EPF) has approved the proposal of investing in ETFs after considering the possible risk associated with the investments.
The Government has not provided any guarantee for such investments in the stock market as investment in such instruments are subject to market movements.
Some of the trade unions have expressed their reservations over the decision to invest in equity as they are concerned about the risk associated with the investments in stock market.
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