Today, there is a plethora of investment schemes available that provide some sort of unique benefits or the other. But not all of them are helpful to a particular investor. If you are into the investment scene for a long time now, you will relate to this. But if you are new or is thinking about adopting other effective strategies, then this blog will be quite helpful to you.
But whatever you do, you may lose out a lot of money because of payable tax. Therefore, a lot of people do tax-saving exercises especially in the last quarter of the financial year, between January and March, to be precise. There is an abundance of tax-saving investment options present that will help you to claim a tax deduction. We will now tell you about the best option of them all.
ELSS is the name that you should remember in this context. It stands for Equity Linked Saving Scheme. Basically, they are tax-saving mutual funds and allow their users with an amount up to Rs 1.5 lakh for earning a tax break under Section 80C. With this kind of fund, you will obtain quite a number of benefits and we will discuss them below.
Visit Wealthclock Advisors in Mumbai or other cities to get the best finance related advise and guidance.
Some reasons that make ELSS better than other similar options
So, what are the benefits that you will receive from ELSS? Let's know them below.
Shortest lock-in period
Did you know that ELSS has the shortest lock-in period when compared to similar tax-saving instruments? Several other instruments such as PPF as well as NSC have respective lock-in periods of 15 and 5 years. So, what does this signify? ELSS is better than these and the fact is that they have a comparatively less lock-in period time of just 3 years.
So, what better than this? We believe in the potential of ELSS and thus, recommend the same to our customers too. Money invested in this kind of scheme is a lot more accessible when compared to other similar kinds of instruments. But we will recommend you to stick around for a longer duration, despite having a short lock-in period.
It will facilitate your financial investment.
Exposure to equities
This kind of fund serves to be the ideal way to get a good exposure to equities. Investors who have a high-risk appetite and wish to take risks, so as to earn more, look up to equity investment schemes. Another fund that can add immense value to their portfolio is ELSS. With the help of professional fund management, you can diversify your portfolio and this will serve you extremely well.
Visit Wealthclock Advisors to know more. We will help you out in every possible way and you can derive the best results from your ELSS funds. This kind of fund is an effective product that has the ability to give exposure to up to 100% into equities. So, other than the obvious tax advantage, investors can accumulate a significant portion of wealth for achieving long term goals.
So, if you are thinking How Do I select best performing mutual funds, then contact us today. We will offer you the best guidance.
Flexibility in investment
ELSS is a lot more flexible than other similar kinds of investment schemes and this is what that makes them so special. If you are not happy with a specific ELSS fund, then you are free to move your investment to the most suitable ELSS scheme after the completion of the lock-in period. How wonderful it is, isn't it?
We strongly recommend this scheme to others and even consider it as a strong shield for providing protection against volatility that is natural with the stock market. The scheme immensely benefits from a good market condition and also acts as a strong component that can lessen the impact of market lows.
So basically, not only you have flexibility in investment but you are also getting a fund that can save you during bad times. So, why not choose them over others instead? Visit us today to get good guidance of the same. We will meet you other kinds of queries like "How to do SIP online?” equivalently.
Impressive ROI
Investment in ELSS always provides an impressive return on investment. They have been known to provide returns in the range of 12 percent. This makes them stand out from their peers and with an impressive ROI record, investors simply love them to the core! These are some of the strong reasons to go for ELSS.
You as an investor will benefit a lot from this kind of scheme. You need to be smart in your every financial step and ELSS is just the right tool that will help you to reach your destination successfully.