India spends about Rs. 2.95 lac crore on its defence. A projected expenditure of Rs. 50 lac crore is to be incurred for developing the country’s infrastructure, and approximately Rs. 28500 crore is spent on life improvement and social uplifting schemes annually. But, where do you think the money, in such mammoth figures, comes from? The answer wraps up in one word – Tax. However, considering the importance of the tax there are still only a handful of people that are actually paying their taxes. The reason – lack of awareness of tax-friendly reforms and thus, the reluctance to pay tax.
Hence, we have come up with an article dedicated to Axis Long Term Equity Fund, one of the best ELSS plans available in the country, so that the readers may gain knowledge about the resorts available to them in respect of their tax expenditure. Here, you’ll get acquainted with the latest facts on the scheme like its performance and the portfolio construction, and will also be made familiar with the advantages of investing in it.
So, stay tuned and don’t leave your chair until you have read the article from top to bottom. Happy reading, fellas!
About the Fund
Axis Long Term Equity Fund (G) is an equity-oriented ELSS plan. It is counted amongst the A-rated tax-saving plans in India, and follows a growth-oriented formula of investing that involves buying quality stocks of thriving companies. The target companies are firm and steady with strong foundations and possess a sustainable business model that can outlast the market performance. The fund experienced some turbulence during the year 2016, but soon recovered in the beginning of 2017 and was back in line with other superior funds in the league of tax-saving options.
As of 30th June, 2018 the fund had accumulated Rs. 17, 299 crore, becoming one of the fastest growing mutual funds in the Indian market. The fund enjoys a rare five-star rating from CRISIL and is a major tax-saving option for the average Indian citizen.
In comparison to the peers, Axis Long Term Equity Fund (G) gives more weightage to giant and large cap funds. In the last one year, the fund has increased exposure to this category by as much as 10% shooting its occupancy up to 75% of the total portfolio. The portfolio further comprises of mid-cap stocks that have presently occupied 26.43% of the total investment. The fund holds quality stocks of top companies across different segments such as Chemicals, Technology, and Durables.
Axis Long Term Equity Fund (Growth) is a powerful combination of tax-saving and returns. The past five years have been amazingly beneficial for the investors of this fund, as they got a chance to earn as much as 23.61% returns on their investments. Further, the fund is running way ahead of its benchmark (S&P BSE 200 TRI) and other ELSS funds in terms of past performance which makes it an all the more attractive option.
Now that we have talked about the basics and learnt about the performance, it’s time to unfold the biggest advantages of investing in Axis Long Term Equity Fund – Regular Plan (G). Let’s pinpoint the most favourable of all advantages of investing in this fund: -
- Best Tax Saver : The key advantage of investing in Axis Long Term Equity Fund Growth is its tremendous tax-saving capacity. As per the prevalent laws of Income Tax Act, 1961, an investment in the ELSS and other approved options can help you deduct as much as Rs. 1, 50, 000 on your annual taxable income. This means that if everything goes smooth for you and you are able to achieve this deduction, then you’ll be saving Rs. 46, 800 annually on your tax bills.
- Growth with Tax-Saving : Axis Long Term Equity Fund is the highest paying ELSS plan in India. Its growth rate is better than ever and is growing on the benchmark. If planned with a long-term vision, then the fund can prove to be a remarkable success for the investors and provide solid opportunities for wealth building.
- Controlled Risk : Axis Mutual Fund is one of the biggest fund houses in India. Hence, it is not a difficult task for the financial company to assemble a highly capable team of fund managers. This advantage extends to all the schemes including Axis Long Term Equity Fund (Growth), as a result of which the risk exposure remains well within the tolerable limits.
Axis Long Term Equity Fund is a superb option for controlling your tax expenses in addition to earning good returns. Consult your financial advisor today and approach towards the best tax planning of your life.
This article highlights some of the most important aspects of Axis Long Term Equity Fund.