HDFC ELSS tax saver for smart investors
Investors can claim deductions up to Rs 1,50,000 annually under the old regime as per Section 80C of The Income Tax Act, 1961
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Mumbai: HDFC ELSS Tax Saver is making waves in the world of tax-saving investments, offering investors the dual benefit of tax savings and potential wealth creation. Investors can claim deductions up to Rs 1,50,000 annually (alongside other prescribed investments) under the old regime as per Section 80C of The Income Tax Act, 1961. Opting for the new regime under Section 115BAC of The Income Tax Act, 1961 may not provide tax exemptions under Section 80C, but the scheme's 3-year lock-in period encourages long-term investments despite short-term market fluctuations. Notably, this lock-in period is shorter compared to other conventional Section 80C eligible options like PPF, NSC, or Tax Saving FDs.
HDFC ELSS Tax Saver operates on a research-driven investment process supported by an experienced in-house team covering over 400 stocks. The fund's investment philosophy revolves around long-term investments in quality companies at reasonable valuations, focusing on fundamentally strong companies with growth drivers in the medium to long term and those competitively positioned in promising industries.
Diversification across sectors and themes, combined with a sharp focus on company fundamentals and valuations, form the foundation of the fund's strategy to sustainably create wealth through a disciplined and scalable approach. An investment of ₹10,000 in HDFC ELSS Tax Saver on March 31, 1996, would have grown to ₹28,99,345 as of February 29, 2024, at a CAGR of 22.50%.^ Investors have the flexibility to choose between lump-sum investments or SIPs, starting as low as ₹500 per month.
Senior Fund Manager, Ms Roshi Jain, emphasized, "HDFC ELSS Tax Saver represents a blend of disciplined equity investing and HDFC AMC’s commitment to delivering long-term value to investors. With an almost 28-year track record, the journey not only showcases the potential of tax-saving investments for wealth creation but also reaffirms our dedication to our fundamentals-based investment philosophy."
Mr Navneet Munot, MD & CEO of HDFC AMC, stated, "The tried-and-tested principle of Sound Investment + Time + Patience for wealth creation in equities is evident in HDFC ELSS Tax Saver's nearly 28-year track record. The combination of tax savings, potential for wealth creation, and a diversified portfolio makes this fund a wise investment choice, aligning with our mission to be the wealth creator for every Indian."
^Past Performance may or may not be sustained in the future and is not a guarantee of any future returns.
