Investing Smartly with Mirae Asset Tax Saver Fund: Tax Savings and Returns

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Mirae Asset Tax Saver Fund

Mirae Asset Tax Saver Fund is an Equity-Linked Savings Scheme (ELSS) offered by Mirae Asset Global Investments. If you’re searching for consistent returns along with tax benefits, this can be an excellent choice. It gives investors tax-free income and makes investments in government securities. This fund provides investors with several excellent advantages. These include:

  1. Tax Benefits: The primary advantage of investing in this fund is the tax benefit it offers under Section 80C of the Income Tax Act in India. Investing in ELSS funds allows investors to deduct up to Rs. 1.5 lakh from their taxable income, which can result in significant tax savings.
  2. Potential for Capital Appreciation: Mirae Asset Tax Saver Fund primarily invests in equities and equity-related instruments, which have the potential for higher returns compared to traditional tax-saving investments such as Fixed Deposits or Public Provident Funds (PPF). Over the long term, equities can offer the opportunity for capital appreciation.
  3. Professional Management: Mirae Asset Tax Saver fund is also managed by a team of experienced and professional fund managers with a deep understanding of the markets and a proven track record of successful investing. This group is dedicated to giving investors the required guidance and assistance to achieve their financial objectives.
  4. Another reason for investing in this fund is its impressive performance history. The fund has provided an annualized return of 14.2% during the past five years. Compared to the returns of the majority of other funds in the same category, this is considerably higher.    
  5. Diversification: The fund aims to diversify its portfolio across various sectors and companies, which helps in spreading the risk. Diversification can reduce the impact of poor performance in any single stock or sector on the overall investment.
  6. Liquidity after Lock-in Period: While ELSS funds come with a mandatory lock-in period of three years, once this period is over, investors have the flexibility to redeem or withdraw their investments if they need the funds. This liquidity is not available with certain other tax-saving instruments like PPF, which have longer lock-in periods.
  7. Long-Term Wealth Creation: ELSS funds, including the Mirae Asset Tax Saver Fund, are typically recommended for long-term wealth creation. By staying invested over an extended period, investors can benefit from the power of compounding and potentially achieve their financial goals.
  8. Transparency: funds like the Mirae asset mutual fund are regulated by the Securities and Exchange Board of India (SEBI) and are subject to strict disclosure and transparency norms. Investors can access regular updates on their investments’ performance and portfolio holdings.

To sum it up, the Mirae Asset Tax Saver Fund is a good choice if you want to save on taxes and grow your money. There are many platforms online that provide professional services to invest and manage your funds in stocks. One such reliable and trustworthy platform is 5paisa. It is managed by experts and provides investors with a transparent and convenient path to achieving their financial goals. It offers not only significant tax benefits under Section 80C but also the potential for capital appreciation through diversified equity investments. This fund has a history of strong performance and provides liquidity after three years of lock-in period. It’s a smart way to plan for your future but must be carefully executed.

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