This presentation focuses on how one can save taxes and earn more returns by investing in ELSS schemes

1. Tax Saving MutualTax Saving Mutual
Funds | ELSSFunds | ELSS
SchemesSchemes
Ventura Securities Ltd.

2. What is ELSS ?
 Mutual Fund scheme that invests in equity
instruments.
 Eligible for deduction under section 80C of
Income Tax Act.
 Investment deductions up to Rs.1.50 Lacs
(limit increased from Rs.1 lac to Rs.1.50 lacs)
is eligible.

3.  Tax Benefit (Under I.T. Sec 80C)
 Equity Benefit. Potential for higher
Returns
 Tax – Free Dividends
 No Long Term Capital Gains tax
 Lowest Lock-in Period (3Yrs)
 Investments Amount:
 Min: Rs.1000
 Max: Unutilized component of 80C
Why invest in ELSS ?

4. Comparison Between PPF, NSC and ELSS
Instrument Expected Returns Lock-In Period
National Savings
Certificate - NSC
8.5% 5 years
Public Provident
Fund - PPF
8.50% Up to 15 years
Mutual Fund ELSS Around 15%-20%* 3 years
*Mutual Fund investments are subject to market risk. Please read the offer document carefully before
investing

5. In ELSS
Rs. 22.32 Lacs @
XIRR of 22.99%
In PPF
Rs. 3.49 Lacs @
XIRR of 8.50%
Rs. 1,00,000/- Invested 15 years back is worth today..
Data as on 22nd
July 2015
Tax Exemption limit u/s 80C has increased from Rs. 1 Lac to Rs. 1.5

6. PPF v/s ELSS
How money would have grown annually
PPF
Year Interest (p.a.)
Value (@ end of
the year)
Jan-06 8,700 108,700
Jan-07 9,457 118,157
Jan-08 10,280 128,437
Jan-09 11,174 139,611
Jan-10 12,146 151,757
Jan-11 13,203 164,959
Jan-12 14,351 179,311
Jan-13 15,600 194,911
Jan-14 16,957 211,868
Jan-15 18,433 230,301
ELSS
Year
Gain / loss
(Yearly)
Value (@ end
of the year)
Jan-06 35,629 135,629
Jan-07 87,965 223,594
Jan-08 -8,173 215,420
Jan-09 81,055 296,475
Jan-10 128,024 424,499
Jan-11 76,035 500,535
Jan-12 125,210 625,744
Jan-13 134,822 760,567
Jan-14 267,439 1,028,005
Jan-15 255,751 1,283,756
CAGR – 8.70% CAGR – 29.08%

7. Rs. 1 lac in ELSS invested for last 15 Years
Returns as on 31st
July 2015 Source: Accord Fintech
Scheme Name
Current
Value(Rs.)
CAGR
HDFC TaxSaver 2,232,900 22.99
ICICI Pru Tax Plan 2,155,399 22.70
Franklin India Taxshield 1,575,183 20.16
SBI Magnum TaxGain'93 1,225,583 18.17

8. Rs. 1 lac invested in ELSS funds for last 5 years
Returns as on 31st
July 2015 Source: Accord Fintech
Scheme Name
Current
Value(Rs.)
CAGR
Axis LT Equity Fund 270,813 22.04
IDFC Tax Advt(ELSS) Fund 213,032 16.32
Birla SL Tax Relief '96 189,411 13.62

9. Recommended ELSS Schemes:
Returns as on 06th
August 2015 Source: Accord Fintech
Scheme Name
NAV
(Rs.)
6 Mths 1 Yr 3 Yrs 5 Yrs
AUM
Exit
Load
(%)
Exit
Period(Rs. in Crs)
ELSS:
Axis LT Equity Fund 32.21 7.12 35.02 35.32 22.16 5,437
Lock in period- 3
years
Birla SL Tax Relief
‘96
22.82 6.89 36.24 31.15 14.33 1,952
IDFC Tax Advantage
Fund
42.05 9.02 32.71 30.02 16.45 358

10. SIP in ELSS
 Investors can end up with many schemes as they invest
lump sums every year and pick the best performer.
 Consider investing in ELSS through systematic
investment plans (SIPs).
 Avoid last minute lump sum investing and use the SIP
route instead.
 Keep in mind - there is a lock-in of 3 years, which means
that every SIP installment will get locked for 3 years.
For example, if you choose to do a monthly SIP for a year starting January
2015 and the last instalment will be on December 2015, the first
instalment’s lock-in will be get over in January 2018 and the last
instalment’s in December 2018.

11. Stay
Invested for
LONG TERM
!!!

12. Time is ticking and every second counts….START
INVESTING NOW….ITS NEVER TOO LATE !!
Thank you!
Email – mital.chheda@ventura1.com
Call - 67747577