claiming HRA Exemptions
BEST ELSS MUTUAL FUND BEST TAX SAVING FUNDS

Many specialized financial products are available for investing your hard earned money in. One such product is the Equity Linked Savings Scheme which offers both tax benefits as well as high yield in terms of returns. Equity Linked Savings Scheme belongs to the Mutual Fund arena which offers investors many profitable investment options. Let us have a detailed look at Equity linked Savings Scheme which is popularly known as ELSS among the public.

One of the diversified forms of equity Mutual Fund, Section 80C provides tax relief for money invested in Equity Linked Savings Scheme (ELSS). This financial product does not only offer tax relief but also provides capital appreciation.

One of the main features of ELSS is the lock in period of minimum 3 years which is lower than the many financial products on a comparative scale. For instance, to avail tax benefit, the minimum lock in period in Bank Fixed Deposits is 5 years, in Post office Time Deposit is 5 years and in Public Provident Fund (PPF) is 15 years though partial withdrawal is possible after the initial 6 years period.

Unlike many other financial products that offer fixed rate of interest over a period of time, the yield that an investor gets from ELSS has no preset limits. This is mainly due to the fact that Equity Linked Savings Scheme is directly linked with market performance.    

One of the main advantages that ELSS offers to investors is that they can go in dividends even during the 3 years mandatory lock in period. This remains an unknown fact to many investors who may benefit out of this feature at times of emergencies.

Systematic Investment Plan which is popularly known as SIP is one of the proven investment Method through which investors can invest periodically when they go in for Equity Linked Savings Scheme. Systematic Investment Plan averages out the risk factor helping the investors to gain through the same when spread over a period of time.

Right from young investors who have just started their career to aged people who wish to invest their terminal benefits received when retiring from their job, ELSS remains one of the best options to invest. Investing in ELSS offers high returns to all who believes in building wealth and does not mind in taking risks related to the market link the product exhibits.       

The major psychological factor attached to ELSS is the confidence it instills in investors of various age group when spread over a period of time. Many financial institutions offer Equity Lined Savings Scheme of different kinds. Investors who are new to Take the help of Financial Consultants who keep themselves abreast with the current market happenings. Financial Consultants will be able to guide you through the complete set of ELSS products available in the market for you to invest in the best one.

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