BUSINESS

EPFO’s buys via ETFs to cross Rs. 45,000 cr.

Fund invested Rs. 14,982 crore in 2016-17

The retirement fund body EPFO’s investment in stocks through exchange traded funds (ETFs) would cross the Rs. 45,000-crore mark by the end of this fiscal, Labour Minister Bandaru Dattatreya said on Thursday.

“In the exchange traded funds, we have increased (investment) from 10% to 15%. With this, this year alone, it may go in totality to Rs. 45,000 crore, and I feel (that) the rate of return last year was 13.3% (from ETFs),” Mr. Dattatreya said on the sidelines of an Assocham event here.

‘Situation encouraging’

“The markets are good and let’s see the situation, but it is an encouraging one. That’s why we have increased (investment),” he said.

As of April 21 this year, the stock investment stood at Rs. 21,559 crore. The EPFO invested Rs. 6,577 crore in 2015-16 and Rs. 14,982 crore in 2016-17.

Mr. Dattatreya also said the ministry was working on consolidating 44 labour codes into four in order to simplify them.

The four codes pertain to labour, industrial relations, social security and welfare and safety and working conditions.

Besides, he said the government plans to create 65 million jobs by 2026 in the auto sector alone.

OEM investment

Speaking on the occasion, Secretary, Heavy Industries and Public Enterprises, Girish Shankar said there is a huge gap the auto industry must address to ensure Make in India delivers.

Original equipment manufacturers (OEMs) need to make substantial investment in engineering R&D for designing and developing in India so that India graduates to a truly auto engineering hub.

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