Thinking of investing for the long run? Mutual funds, NPS, PPF, or even post office schemes come to mind. In India, both NPS and mutual funds have gained popularity among investors. Lets know about NPS vs Mutual funds India. NPS is a government-sponsored retirement savings scheme designed to provide financial security after retirement. Mutual funds, on the other hand, invest in diversified portfolios of securities. But now comes the most difficult decision: NPS or Mutual Funds: which is better for me and Difference between NPS and mutual fund.