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Axis Asset Management Company Ltd., the formal name of Axis Mutual Fund, is the mutual fund investment wing of Axis Bank, the third-largest private bank in India. A 74.9% share of the AMC is held by Axis Bank, while the rest 24% is held by Schroder Singapore Holdings Private Limited. Axis Mutual Fund launched its first scheme in October 2009.  Since then, the Axis Mutual fund has grown strongly. And the fund house attributes its success to its three founding principles - long-term wealth creation, outside-in (customer) view and long-term relationship. Axis Mutual Fund’s vision is to responsibly manage money and risks to help people feel financially secure and confident of a brighter and wealthy future. They place a strong emphasis on risk management and planning. They encourage their investors and partners to take a holistic view that extends beyond simple investing surpluses to investing with an underlying dream, aspiration or goal. The fund house emphasises outside-in view and takes every single decision with the investor at heart. They believe in communicating in the investor’s language and creating wealth in the long term. The fund house has been playing a serious and credible role in investors' money baskets. The fund house encourages investors to build a long-term perspective of the mutual fund category. While leveraging the equity of the Axis brand, they aim at building relationships rather than being transactional. With a well-rounded product suite that consists of more than 40 schemes, they have over 60 lakh active investor accounts and are present in over 100 cities. The fund house has been around for nearly 11 years. The company is registered with SEBI, AMFI and other regulatory bodies. Axis Mutual Fund is the seventh-largest mutual fund house by asset size in India. The assets under management of the schemes of Axis Mutual Fund as of March 31, 2020, was INR 116,453.92 Cr and the average assets under management for the month ended March 31, 2020, were INR 1,20,468.82 Cr. The total number of investors’ folio count under the schemes of Axis Mutual Fund as of March 31, 2020, was 60,10,731. As of March 31, 2020, Axis Asset Management Company Ltd. managed 49 schemes of Axis Mutual Fund, which includes an open-ended equity-linked savings scheme with 3-year lock-in (ELSS); open-ended equity schemes; an open-ended index fund; an open-ended Hybrid scheme; open-ended liquid scheme;  open-ended overnight scheme, open-ended gilt scheme; open-ended debt schemes;  open-ended Exchange Traded Funds;   open-ended funds of fund scheme;  solution-oriented schemes;   close-ended equity scheme, and close-ended debt schemes. With an Average AUM* of over INR 1,76,008 Cr, Axis Mutual Fund has over 70 lakh active investor accounts, a presence in over 100 cities and 49 schemes including FOF. (March 31, 2020).  Important information about Axis Mutual Fund Name of the AMCAxis Asset Management Company LtdIncorporation Date13 January 2009SponsorsAxis Bank LimitedTrusteeAxis Mutual Fund Trustee LimitedTrustees' NameMr Bapi Munshi, Associate Director Mr Murray Coble, Associate Director Mr Radhakrishnan Nair, Independent Director Mrs Vijayalakshmi Rajaram Iyer,  Independent Director Mr G. Gopalakrishna, Independent Director Mr Uday M Chitale, Independent DirectorMD/CEOMr Chandresh Kumar NigamCOOGopal MenonCompliance OfficerMr Darshan KapadiaChief Business OfficerMr  Raghav N. IyengarRegistrar and Transfer agentKFin Technologies Private Limited, Selenium Building, Tower-B, Plot No 31 & 32 Financial District, Nanakramguda, Serilingampally,  Hyderabad, Rangareddi, Telangana, India - 500 032 Toll-Free No: 1800 425 4034/35 E-mail: AXISMF.customercare@kfintech.comToll-free Number 8108622211 / 1800221322Email Addresscustomerservice@axismf.comRegistered AddressAxis House, 1st Floor, C-2, Wadia International Centre, Pandurang Budhkar Marg, Worli, Mumbai - 400 025 www.axismf.com 10 top-performing Axis Mutual Fund Schemes 1. Axis Bluechip Fund (Category - Equity: Large Cap) This is an open-ended equity scheme predominantly investing in a large-cap stock. This scheme is suitable to achieve long-term capital appreciation by investing in a diversified portfolio predominantly consisting of equity and equity-related securities of Large Cap companies including derivatives. This scheme is suitable for those who are looking for long-term goals such as children's education & their future, retirement or any other long-term growth that needs a wealth creation plan. Key information Minimum InvestmentINR 5,000      Minimum Additional Investment INR 1,00Minimum SIP InvestmentINR 500Minimum WithdrawalINR 500Exit LoadIf redeemed/switched out within 12 months from the date of allotment,- For 10 % of investments: Nil; For remaining investments: 1%; If redeemed/switched - out after 12 months from the date of allotment: NIL (w.e.f. 25th September 2017)Return Since Inception: inception date January 5, 201012.78 % (Regular -Growth) 16.42% (Direct-Growth)NAVINR 37.73, (Regular-Growth) (April 20, 2021) INR 41.60, (Direct-Growth) (April 20, 2021)AUMINR 23,496.02 Cr (As on Feb 28, 2021) 2. Axis Midcap Fund (Category - Equity: Mid Cap) This is an open-ended equity scheme predominantly investing in Mid Cap stocks. This mid-cap mutual fund invests predominantly in mid-cap companies. Midcap companies have the potential to deliver superior returns due to the potential for faster earnings growth. But such companies are emerging companies and hence it is important to be vigilant about their business and growth prospects and hence carry risk. Investing in this fund allows you to complement your portfolio focusing on large-cap companies. This is suitable for those looking for long-term goals such as children's education & their future, retirement or any other long-term growth that needs a wealth creation plan. Key information Minimum InvestmentINR 5,000      Minimum Additional Investment INR 1,00Minimum SIP InvestmentINR 500Entry LoadNil Exit LoadIf redeemed/switched out within 12 months from the date of allotment,- For 10 % of investments: Nil; For remaining investments: 1%; If redeemed/switched - out after 12 months from the date of allotment: NIL (w.e.f. 25th September 2017)Return Since Inception (18 Feb 2011)18.19 % (Regular-Growth)19.62 % (Direct-Growth)NAVINR 37.73 (April 20, 2021)(Regular-Growth)INR 59.59(April 20, 2021)(Direct-Growth)AUMINR 9,757.42 Cr (As on Feb 28, 2021) 3. Axis Focused 25 Fund (Category - Equity: Focused) This is an open-ended equity scheme investing in a maximum of 25 stocks investing in large-cap, mid-cap and small-cap companies. The scheme invests in a concentrated portfolio of high-conviction ideas (up to 25). The focus is on companies that have the capability to sail through their business cycles without getting affected by short-term market volatility. This fund offers the benefit of higher exposure to the best ideas, and the portfolio is well-diversified across sectors to manage risk. This is suitable for investors who prefer to go for higher returns compared to other Equity funds. In this fund, the investor should be aware of the possibility of moderate to high losses in their investments even though the overall market is performing better. Key Information Minimum InvestmentINR 5,000      Minimum Additional Investment INR 1,00Minimum SIP InvestmentINR 500Entry LoadNil Exit LoadIf redeemed/switched out within 12 months from the date of allotment,- For 10 % of investments: Nil; For remaining investments: 1%; If redeemed/switched - out after 12 months from the date of allotment: NIL Return Since Inception (01 Jan 2013)16.45 % (Regular-Growth)16.78 % (Direct-Growth)NAVINR 36.77 (April 20, 2021) (Regular-Growth)INR 40.65 (April 20, 2021) (Direct-Growth)AUMINR 14,698.83Cr (As on Feb 28, 2021) 4. Axis Smallcap Fund (Category - Equity: Smallcap) This is an open-ended equity scheme predominantly investing in small-cap stocks. The fund uses a bottom-up approach to investing in small caps aimed at identifying long-term businesses. This fund is ideal for small-cap investors who can patiently invest and those willing to absorb short-term volatility. Suitable for Investors who look for an investment horizon of 5 years or more and looking for very high returns.  Key information Minimum InvestmentINR 5,000      Minimum Additional Investment INR 1,00Minimum SIP InvestmentINR 500Entry LoadNil Exit LoadIf redeemed/switched out within 12 months from the date of allotment, - For 10 % of investments: Nil: For remaining investments: 1%. If redeemed/switched - out after 12 months from the date of allotment: NILReturn Since Inception (01 Jan 2013)16.45 % (Regular-Growth)16.78 % (Direct-Growth)NAVINR 43.78 (April 20, 2021) (Regular-Growth)INR 47.96 (April 20, 2021) (Direct-Growth)AUMINR 4,165.40Cr (As on Feb 28, 2021) 5. Axis Long-Term Equity Fund (Category - Equity: ELSS) This is an open-ended equity-linked saving scheme with a statutory lock-in of 3 years and tax benefit. The fund has a 3-year lock-in which is one of the lowest amongst other tax-saving instruments.  The money is invested in equities and does not get perturbed by market ups and downs. Being an ELSS scheme, the scheme comes with dual advantages of building wealth and saving tax. This is suitable for investors who are looking to invest money for at least 3 years and want income tax savings besides expecting higher returns.  Key Information Minimum InvestmentINR 5,00      Minimum Additional Investment INR 5,00Minimum SIP InvestmentINR 5,00Entry LoadNil Exit LoadNilReturn Since Inception17.45% (Regular-Growth) (Date of Inception: 29 Dec 2009)19.95 % (Direct-Growth) (Date of Inception: 01 Jan 2013)NAVINR 59.51 (April 20, 2021) (Regular-Growth)INR 65.02 (April 20, 2021) (Direct-Growth)AUMINR 27,216.23Cr (As on Feb 28, 2021) 6. Axis Triple Advantage Fund (Category - Hybrid: Multi-Asset Allocation) This is an open-ended scheme investing in equity, debt and gold. It is a 3-in-1 investment option or an asset allocation fund that helps you diversify your money across three asset categories - equity, debt and gold. It facilitates investing in gold, which is one of the most popular options amongst Indian investors. A single application is sufficient for investment in three asset classes. Key Information Minimum InvestmentINR 5,000      Minimum Additional Investment INR 1,00Minimum SIP InvestmentINR 500Entry LoadNil Exit LoadIf redeemed/switched out within 12 months For 10% of investment: Nil. For remaining investment: 1%. If redeemed/switched out after 12 months from the date of allotment: Nil (w.e.f. 15th June 2015)Return Since Inception9.30 % (Regular-Growth) (Date of Inception: 23 Aug 2010)10.15 % (Direct-Growth) (Date of Inception: 01 Jan 2013)NAVINR 25.44 (April 20, 2021) (Regular-Growth)INR 27.94 (April 20, 2021) (Direct-Growth)AUMINR 861.51Cr (As on Feb 28, 2021) 7. Axis Equity Saver Fund (Category - Hybrid: Equity Savings) This is an open-ended scheme investing in equity, arbitrage and debt. The fund follows a multi-asset strategy so that investors avoid over-investing in one asset class and thereby reducing the overall risk and volatility. This fund is ideal for people who want to have a balanced approach to portfolio management. As money is diversified across different asset classes, it reduces the impact of bad performance from a single asset class through performance from the other 2 asset classes. Key information Minimum InvestmentINR 5,000      Minimum Additional Investment INR 1,00Minimum SIP InvestmentINR 500Entry LoadNil Exit Load  If redeemed/switched out within 12 months from the date of allotment, - For 10% of investments: NIL. For remaining investment: 1%. If redeemed/switched - out after 12 months from the date of allotment: NIL (w.e.f. 20th Aug 2015)Return Since Inception7.72 % (Regular-Growth) (Date of Inception: 14 Aug 2015).9.02% (Direct-Growth) (Date of Inception: (14 Aug 2015)NAVINR 15.02 (April 20, 2021) (Regular-Growth)INR 16.10 (April 20, 2021) (Direct-Growth)AUMINR 711.22Cr (As on Feb 28, 2021) 8. Axis Gold Fund (Category - Commodities: Gold) This is an open-ended fund of fund scheme investing in Axis Gold ETF. In this scheme, investors can invest in Gold ETF without the hassles of storage or concerns about quality. It's a low-cost holding and transparent pricing based on international gold price movements are done. One can invest in any amount subject to minimum investment requirements. One can invest in Gold through systematic investments in as little as Rs.1,000 and no Demat account is required. Key Information Minimum InvestmentINR 5,000      Minimum Additional Investment INR 1,00Minimum SIP InvestmentINR 1,000Entry LoadNil Exit Load1% is payable if units are redeemed /switched out within one year from the date of allotmentReturn Since Inception3.90% (Regular-Growth) (Date of Inception: 20 Oct 2011).3.73 % (Direct-Growth) (Date of Inception: (01 Jan 2013)NAVINR 14.60 (April 20, 2021) (Regular-Growth)INR 15.71 (April 20, 2021) (Direct-Growth)AUMINR 212.49Cr (As on Feb 28, 2021) 9. Axis Gilt Fund (Category - Debt: Guilt) This is an open-ended debt scheme investing in government securities across maturity. Axis Gilt Fund is an open-ended GILT (Government securities) fund which invests in a portfolio of government securities. Since securities are backed by sovereign guarantees, there is no default disk. This fund is suitable for an investment horizon of 3 years or more and for those looking for the safety of their investments. Key Information Minimum InvestmentINR 5,000      Minimum Additional Investment INR 1,00Minimum SIP InvestmentINR 1000Entry LoadNil Exit LoadNil w.e.f. 9th January 2013Return Since Inception7.56 % (Regular-Growth) (Date of Inception: 23 Jan 2012).7.88 % (Direct-Growth) (Date of Inception: (01 Jan 2013)NAVINR 19.82 (April 20, 2021) (Regular-Growth)INR 20.67 (April 20, 2021) (Direct-Growth)AUMINR 177.79 Cr (As on Feb 28, 2021) 10. Axis regular saver fund (Category - Hybrid: Conservative Hybrid) This is an open-ended hybrid scheme investing predominantly in debt instruments. This is a moderately high-risk fund suitable for an investment horizon of more than 2 years. The investment in this fund adds stability to your portfolio by investing primarily in fixed-income instruments. The fund offers potential for capital growth through limited exposure to equity instruments. Key Information Minimum InvestmentINR 5,000      Minimum Additional Investment INR 1,00Minimum SIP InvestmentINR 1000Entry LoadNil Exit LoadIf redeemed/switched out within 12 months from the date of allotment,- For 10% of investments: NIL - For remaining investment: 1%. If redeemed/switched - out after 12 months from the date of allotment: NILReturn Since Inception7.56 % (Regular-Growth) (Date of Inception: 16 Jul 2010).9.43 % (Direct-Growth) (Date of Inception: (04 Jan 2013)NAVINR 22.33 (April 20, 2021) (Regular-Growth)INR 24.71 (April 20, 2021) (Direct-Growth)AUMINR 223.12 Cr (As on Feb 28, 2021) How can you invest in Axis Mutual Fund via EduFund? Investing in Axis Mutual Fund via Edufund is a simple, four-step process.  Step 1 - Download the EduFund App from Google Play Store or Apple App Store and create an online account. Step 2 -  Select a Scheme - Browse a wide range of Axis Mutual Fund schemes and choose the right scheme suiting your financial goals. You may invest in a Systematic Investment Plan (SIP) or a lump sum. The inbuilt recommendation engine suggests the best scheme for your financial objectives. Step 3 - View and Track Your Transaction(s) - The amount you have invested will reflect in your EduFund account within four working days. You can track the Axis Mutual Fund NAV, account balance, statement, and other information in the app. On the other hand, you can purchase, redeem, or switch Axis Mutual Fund units. Step 4 - Speak With a Mutual Fund Counsellor - You can connect with a mutual fund consultant to share your goals and get personalised advice.  EduFund uses top-class authentication and encryption technologies to ensure bank-like secured transactions and safeguard your investments.   The best-performing Fund Managers at Axis Mutual Fund The fund manager plays an important role in driving value and generating growth of the investors’ money. The following are the 10 best-performing fund managers in Axis AMC whose funds have consistently churned out the best returns.  1. Mr Jinesh Gopani - Head - Equity Jinesh Gopani is the Head of Equity at Axis AMC. He joined Axis AMC in 2009 as an Equity Fund Manager and worked his way to become the Head of Equity in 2016. He currently manages the flagship Axis Long Term Equity Fund amongst other funds. Prior to Axis AMC, Jinesh was associated with Birla Sunlife AMC as a Portfolio Manager, where he was responsible for alternative assets across the growth, value and dividend basket. He was associated with this company from June 2008 to October 2009. He was also associated with Voyager India Capital as a Sr. Research Analyst responsible for the BFSI & Infrastructure sector and held a sectorial portfolio manager role for investments. He was with Voyager India Capital from February 2006 to May 2008. He is an M.M.S. in Finance from Mumbai University. He has a total experience of 19 years in the capital markets, of which eight years are in equity fund management. He manages 2 all schemes (Feb28,2021). 2. Mr Shreyash Devalkar - Senior Fund Manager - Equity Shreyash Devalkar is the Senior Fund Manager at Axis AMC. He joined the AMC in 2016 and took over the responsibility of managing important funds like Bluechip Fund, and Midcap Fund, followed by Multicap Fund in 2017. Prior to this, he was associated with BNP Paribas AMC as a Fund Manager for more than five years. He has also worked as a Research Analyst at IDFC Asset Management Company (July 2008 to Jan 2011) and IDFC Securities (Sept 2005 to July 2008). He is a bachelor's in Chemical Engineering & Master's in Management Studies. He has over 17 years of experience in capital markets. He manages two all schemes (Feb28,2021). 3. Mr Anupam Tiwari - Fund Manager - Equity Anupam Tiwari is an Equity Fund Manager at Axis AMC. He joined Axis AMC in September 2016. Prior to that, he worked with Reliance Life Insurance & Principal PNB Asset Management as a Fund Manager. He started his career as an Equity Analyst with Reliance Capital AMC in 2005. A Chartered Accountant, he has over 17 years of experience in capital markets. He  manages 3 allschemes (Feb28,2021). 4. Mr Ashish Naik- Fund Manager – Equity Ashish Naik is an Equity Fund Manager at Axis AMC. He joined Axis AMC as an Equity Research Analyst in 2009, and later in June 2016, he was elevated to the post of Fund Manager. Prior to this, Ashish was associated with Goldman Sachs India Securities as a Business Analyst. He is an MBA from XLRI, Jamshedpur and B.E. from Mumbai University. He is a certified CFA charter holder (2011 -12) and FRM (2007-08). He has over 13 years of experience, out of which over eight years of experience are as an Equity Analyst. He covers sectors like Autos & Logistics, Cement & Building Materials, Metal, Metal Products & Mining, Agro Inputs & Chemicals, Textiles & Other Commodities at Axis Mutual Fund. He manages 8 all schemes (Feb28,2021). 5. Mr Viresh Joshi - Chief Trader & Fund Manager - Equity Viresh has been associated with Axis Since 2009 and is the head trader for equity funds in addition to being a fund manager. He has been an active participant in round table events at major forums like FIX and TradeTech on Dealing & Trading, representing domestic buy-side investors across equity, equity derivatives and ETFs. Viresh holds an MBA in Finance and has over 20 years of experience in the capital markets in India and overseas. He has worked with companies like BNP Paribas Securities & ICICI Securities in the past. 6. Mr Hitesh Das - Research Analyst - Equity Hitesh has his Bachelor's in Technology, Master's in Technology, and Post Graduate Diploma in Management from IIM Lucknow. He has over 9 years of experience in financial markets. His previous experience includes Barclays and Credit Suisse Securities India. He covers Sectors like Capital Goods, Engineering & Construction, and Information Technology at Axis Mutual Fund. He manages seven schemes (Feb28,2021). 7. Mr R. Sivakumar - Head - Fixed Income Sivakumar is the Head – Of fixed Income at Axis AMC. Siva has over two decades of experience in the Indian asset management industry working across asset classes and functions. He joined Axis in 2009, and he was part of the startup team there. He looked after the products and portfolio management services and was responsible for leading the launch of Axis' signature & award-winning hybrid funds. In September 2010, he was promoted to Head - Fixed Income. He is responsible for the overall investment strategy, performance and risk management across fixed-income investments. Prior to Axis AMC, Siva was associated with Fortis Investments (formerly ABN AMRO AMC), where he held multiple positions chiefly as a Fund Manager - Fixed Income. He also led products, and in 2009, he was appointed Chief Operating Officer, becoming the youngest person in the asset management industry in that role. Siva has also worked with Sundaram AMC as Fund Manager – Fixed Income and with Zurich India AMC as Research Analyst. He is an engineer from IIT Madras and a PGDM from IIM Ahmadabad. Siva manages 12 all schemes (Feb 28, 2021). 8. Mr Devang Shah - Deputy Head - Fixed Income Devang Shah is the Deputy Head - Fixed Income at Axis AMC. His core responsibilities include managing top quartile performance for all funds, along with managing the client relationship. Devang joined Axis AMC in October 2012 as a Fund Manager and was promoted to Deputy Head in June 2018. He has been actively involved in the ideation, sourcing and investment strategy for fixed-income funds. Prior to this, Devang was working with ICICI Prudential AMC as a Fund Manager from April 2008 till October 2012. His primary responsibilities include analysing domestic fixed-income markets, providing views on the interest rate, credit environment & domestic monetary aggregates; managing portfolio and trading in Debt & Money Market Instruments; analysing various credit structures (LAS, ABS Pools, LAP) and credit exposures for the fund house. He is a Bachelor of Commerce & Chartered Accountant. He has over 14 years of experience, out of which 5 years are in Axis AMC. He has also worked with Pricewaterhouse Coopers, Deutsche AMC & ICICI Prudential AMC. He manages 13 all schemes as of Feb 28, 2021. 9. Mr Aditya Pagaria - Fund Manager - Fixed Income Mr Pagaria is a Bachelor's in Management Studies and holds a Post Graduate Diploma in Business Management from the Institute Of Technology And Management, SK Somaiya College. Prior to joining Axis AMC, he was associated with ICICI Prudential AMC (Nov 2011-Jul 2016) as Fund Manager - Fixed Income Operations. He has over 13 years of experience and  manages 6 all schemes (Feb 28, 2021) 10. Mr Dhaval Patel - Asst. Fund Manager - Fixed Income Prior to joining Axis Mutual Fund, Patel worked with Credit Analysis & Research Ltd. He is an  MBA (Finance) and B.E (Electronics & Communication). He has over 15 years of experience. He has two all schemes as on Feb 28, 2021. Why should you Invest in Axis Mutual Fund?  Axis Mutual Fund is the seventh largest mutual fund house by asset size in India.  Different fund houses have different investment approaches. Axis Mutual Fund house is doing well because of its strategy, and today, Axis funds are quite impressive. They have been taking fundamental views by focusing on high-quality companies irrespective of situations. And one of the fund houses that have been able to deliver outstanding returns consistently over the last few years is Axis Mutual Fund. What is impressive about the strategy of Axis funds is that they have stuck to their respective strategies through thick and thin, and this had provided them with notable performance. With Axis Mutual Fund, investors can choose from 12 Equity schemes, 13 Debt, 6 Hybrid and 8 other Schemes. Whatever your investment objective, you can get an Axis Mutual Fund scheme to fulfil your financial goals. The experienced fund managers at Axis Mutual Fund simplify stock market or secondary market investments easily for you. Select EduFund for Investing in Axis Mutual Fund EduFund makes the process of investing in Axis Mutual Fund convenient. EduFund's experienced consultants give you customised solutions for all your financial goals. You can start investing from a lowly INR 5,000 and grow your capital comfortably. With EduFund, you get the following benefits: Customized Research-Based Financial Plan -  EduFund's scientific fund tracker screens over 1 lakh data points and 400 financial scenarios to recommend you the best mutual funds.  Customer-Friendly Counsellors Help You Create a Financial Plan - EduFund's counsellors are trained to handle all kinds of queries from customers. They spend as much time with you as you need and resolve all your issues to help you create a robust financial plan. Invest Less, Earn More - Not only the best Indian mutual funds, but EduFund also offers you the facility to invest in US Dollar ETFs and international mutual funds. Use Free Tools - EduFund offers various free tools for its customers, including College Savings Calculator, SIP calculator, etc.  No Technical Expertise Required - You do not need to be an expert in finance to understand which mutual fund is the best for you. EduFund does it for you. Value-Added Benefits - You may get value-added benefits like no commission, free advisory, and nil-hidden charges. Secure Transactions - EduFund is RIA-registered and uses top-class 128-SSL security to enable safe transactions. Special Support for Children's Education - EduFund has a dedicated team of experts who help you fulfil your children's educational goals.  FAQs Which is the best Axis Mutual Fund? Top-rated mutual funds: Axis Bluechip Fund (Category – Equity: Large Cap) Axis Midcap Fund (Category – Equity: Mid Cap) Axis Focused 25 Fund (Category – Equity: Focused) Axis Smallcap Fund (Category – Equity: Smallcap) Axis Long-Term Equity Fund (Category – Equity: ELSS) Is SIP better than FD? A systematic investment plan (SIP) is a mode of investment in mutual funds. SIP, in most cases, gives the investors higher returns than FD. FD is unlikely to give inflation-beating returns, which an SIP may give the investor.    Is SIP tax-free?   SIP can help you save on tax. It can be one of the investment vehicles that give you high returns while helping you claim tax deductions.   Is SIP high-risk?   SIP is a considerably safer investment vehicle, but it also depends on which funds you invest. SIPs can have some risks attached to them, and it’s always best to talk to financial experts before choosing a fund.  TALK TO AN EXPERT

Are you shopping for mutual funds and are confused by a plethora of options that exist in the market? In that case, it is always advisable to take a step back and answer the following questions that will aid the screening and selection process to find the funds you need and steer your investment journey in the right direction. 1. How to find the right match between my financial goals and the fund? Self-reflection becomes paramount in this case. One needs to analyze and understand their financial goals/aims/objectives, risk appetite, and the time horizon that they would want to stay invested in the fund. The investment objectives typically fall into 3 categories, namely – Growth, Capital Preservation, and Income generation. These are also determined by the life stage of the investor coupled with other factors. Being clear with the investment objective becomes important as there are no investment vehicles that satisfy or balance all the objectives of all the categories together. For example, an investor whose objective is growth would be open to investing in small-cap funds which have high volatility and offer high returns. Whereas an investor who is investing for capital preservation would not be comfortable with this fund due to its range of volatility or market fluctuations. 2. What are my expected returns over a period of time? Past performance is not an indicator of the future performance of a fund. However, an average return provided by the fund over a period of 5 and 10 years gives the investor a broader perspective of the fund’s performance during the course of the market cycles - factoring in the fund’s stability. It also aids in comparison across various options that are in the market. The performance in a market upturn should be analyzed in conjunction with the performance of the fund in a market downturn, assessing its capability to minimize the losses in that period. Any fund that has beaten the benchmark over a period of time must be considered a potential fund for investment. However, the investment objectives and sectors that the fund is invested in, are also some of the factors that are to be considered. 3. What is my cost/expense? This is determined by the expense ratio, which is the fee charged by the mutual fund to manage your assets on your behalf to provide you with the desired returns. This could also include commission and distribution in the case of a regular plan. When there is a buy/sell in the assets of the portfolio of the fund – also called churning, the investors bear the brokerage fee. It has been observed through research and simple mathematical calculations that a fund with a smaller expense ratio is bound to provide a higher return over a long period of time – where these seemingly minute differences add up to a large difference in your portfolio. For example, let's say that a sum of Rs 50,000 was invested initially. After 30 years, one can observe that the fund with the least expense ratio amounted to the largest corpus, whereas the fund with an expense ratio of 1.5% amounted to a corpus that was approximately 2.5 lakhs less than its highest peer. Hence, it’s always advisable to compare the expense ratio across the funds before making your choice. 4. Does the fund offer any tax benefits? One can invest in Equity Linked Saving Schemes (ELSS) that fall under the category of funds that can be claimed for tax benefits under Section 80C of the Income Tax Act 1961, where one can save up to Rs 1.5 lakhs per year. ELSS invests the pool of money from the investors into equity and equity-related instruments. However, there is a lock-in period of 3 years in the case of these funds. 5. What is the time period/time horizon that I should stay invested in the fund? The choice of the fund also depends on the time horizon that you plan to stay invested in with the fund. If you need liquidity in the next 2-3 years, you could invest in a debt fund for this short-term goal. However, if the fund is for retirement planning or to fund the educational expenses of your child – long-term goals, you could invest in equity funds that beat inflation and provide high returns. 6. What is the composition of the fund? (What does it consist of?) Once the self-reflection is completed and when you have clarity on your objectives, risk appetite, and time horizon, you would want to dig deeper into the composition of the fund. This is an important exercise as the investment strategy of the fund may sometimes not align with your desired objective. For example, if an investor had narrowed down his investment objective to capital preservation, there are n number (n being a large number) of equity funds that are invested into large-cap companies which would align with the risk appetite of the investor (low-risk, stable return). Despite being under the same umbrella, the fund houses could have different strategies and specific choices of sectors or specific stocks for their large-cap funds one of the funds could be investing predominantly in pharma or Infrastructure or could be following a weighted average pattern of the index. This allocation amounts to differences in the returns provided by each of the funds. As an investor, it becomes important to look under the hood and ensure that the funds' objectives align with your personal self. 7. Who is managing the fund? Once you have narrowed down the funds, another factor to consider would be to check who would be managing your fund. Mutual funds are considered instruments that have an active investment strategy, i.e., the fund manager makes decisions on where and how much to invest. The fund performance is hence linked to its manager. Despite the management of funds being process-oriented, it is always beneficial to check the track record of the fund manager. Though past performance is not an indicator of future returns, a strong track record establishes a sense of comfort and trust in the minds of the investor instead of one that has a stellar performance for 2 years and underperforms in the next few years. FAQs What are the 5 questions to ask before investing in mutual funds? What is the fund's goal? How risky is the fund? How has the fund performed? Who manages the fund? What are the benefits of opting for the fund? What should we see before buying a mutual fund? It is important to check the investment allocation and diversification before buying a mutual fund. Whether it's an equity-based fund or hybrid, who is the fund manager, its past performance, and how much is the expense ratio? It is important to study all the factors before buying any fund. What are 4 things to consider before you invest? The 4 things to consider before investing are: What are your long-term and short-term goals? What is your investment horizon? What is your risk appetite? Which is the best investment strategy for your future goals? Conclusion The investor of today is drowning in the ocean of choices with the sheer volume of the funds available in the market. Selecting a fund becomes a herculean task in these times. However, an investor should spend time on the above questions, and evaluate and analyze the options available according to his/her investment objective, and risk profile. Understanding these nuances and making a pros vs. cons chart for each of the options aids in sailing smoothly over the tides of the market.

ICICI Prudential Asset Management Company Ltd is a leading asset management company (AMC) in India focused on bridging the gap between savings & investments and creating long-term wealth for investors through a range of simple and relevant investment solutions. The AMC is a joint venture between ICICI Bank, a well-known and trusted name in financial services in India, and Prudential Pie, one of the UK's largest players in the financial services sectors. Throughout these years of the joint venture, the company has forged a position of pre-eminence in the Indian Mutual Fund industry. The AMC manages significant Assets under Management (AUM) in the mutual fund segment. The AMC also caters to Portfolio Management Services for investors, spread across the country, along with International Advisory Mandates for clients across international markets in asset classes like Debt, Equity, and Real Estate. The AMC has witnessed substantial growth from two locations and six employees at the inception of the joint venture in 1998 to a current strength of 1926 employees with a reach across over 300 locations reaching out to an investor base of 6.2 million investors (as of September 30, 2020). The company's growth momentum has been exponential, and it has always focused on increasing accessibility for its investors. Driven by an entirely investor-centric approach, the organization today is a suitable mix of investment expertise, resource bandwidth, and process orientation. The AMC endeavors to simplify its investor's journey to meet their financial goals and give a good investor experience through innovation, consistency, and sustained risk-adjusted performance. The AMC has two decades of rich experience in fund management and still going strong. Over 62 lakh investors have trusted their finances with them. The Asset Under Management is INR 4,05,220.91  Cr as of March 31, 2021, and it has over 68 mutual fund schemes offering an array of investment opportunities. Some of the well-known equity schemes from its stable are ICICI Prudential Bluechip Fund, ICICI Prudential Multicap Fund, ICICI Prudential Midcap Fund, etc., and ICICI Prudential Mutual Fund also offers some good debt funds. Some of the prominent debt schemes are ICICI Prudential All Seasons Bond Fund, ICICI Prudential Debt Management Fund, ICICI Prudential Credit Risk Fund, etc., ICICI Prudential Equity & Debt Fund, ICICI Prudential Balanced Advantage Fund, ICICI Prudential Regular Savings Fund are prominent names in hybrid schemes category. The percentage of schemes beating the benchmark across its various categories for a one-year time period collectively is approx. 72% as of February 28, 2021. ICICI Prudential Mutual Fund has a large team of good fund managers. The fund house’s growth momentum has been exponential and is driven by an entirely investor-centric approach. The AMC endeavors to simplify its investors’ journey to accomplish their financial goals and provide a high-quality investor experience through innovation, consistency, and sustained risk-adjusted performance. Important information about ICICI Prudential Mutual Fund Name of the AMCICICI Prudential Asset Management Company LtdIncorporation Date22 June 1993SponsorsPrudential Plc and ICICI Bank Ltd.TrusteeICICI Prudential Trust Ltd.Trustees' Name1. Mr. P.H.Ravikumar, 2. Mr. Jyotin Mehta, 3. Mr. R. Ranganakulu Jagarlamudi, 4. Mr. Pramod Rao, 5. Mr. Lakshmi Kumar Mylavarapu  MD/CEOMr. Nimesh ShahCIOMr. Sankaran NarenCompliance OfficerMr. Rakesh ShettyChief Investment OfficerMr. Sankaran NarenRegistrar and Transfer agentComputer Age Management Services (P) Limited (CAMS) Unit: ICICI Prudential Mutual Fund, Spencer Plaza, Phase II,S49A, 172, Anna Salai, Chennai - 600 002.India   Contact Person: S V Karthick Babu Contact Number: 1800-419-2267 (Toll-free anywhere in India)044 66073600 (Chargeable)   Email: ICICI Prudential Mutual Fund @ CAMSToll-free Number 1800-200-6666 1800-222-999Email Addressenquiry@icicipruamc.comRegistered AddressICICI Prudential Mutual Fund 1201-1212, Narian Manzil, 23, Barakhamba Road, Connaught Place, New Delhi, Delhi NCR - 110001 10 top-performing ICICI Prudential Mutual Fund Schemes ICICI Prudential Technology Fund (Category- Equity: Thematic/Sectoral) ICICI Prudential Bluechip Fund (Category- Equity: Large Cap) ICICI Prudential Focused Equity Fund (Category- Equity: Growth) ICICI Prudential Long Term Equity Fund (Tax Saving) (Category- Equity: ELSS) ICICI Prudential Sensex Index Fund (Category- Equity: Growth) ICICI Prudential Value Discovery Fund (Category- Equity: Growth) ICICI Prudential Multicap Fund (Category- Equity: Multi-Cap) ICICI Prudential Banking And Financial Services Fund (Category- Equity:Direct Growth) ICICI Prudential Large & Mid Cap Fund (Category- Equity: Long Duration) ICICI Prudential MidCap Fund (Category- Equity: Multi-Cap) 1. ICICI Prudential Technology Fund (Category- Equity: Thematic/Sectoral) This is ideal to generate capital appreciation by creating a portfolio that is invested in equity and equity-related securities of technology and technology-dependent companies.  Key information Minimum InvestmentINR 5,000      Minimum Additional Investment INR 1,000Minimum SIP InvestmentINR 1000Entry LoadNil Exit LoadIf units purchased or switched in from another scheme of the fund are redeemed or switched out within 15 days from the date of allotment 1% of the applicable NAV.Return Since Inception11.96 (Growth) (Date of Inception: March 3, 2000).NAVINR 109.04 (April 20, 2021) (Growth)AUMINR 1817.80 Cr (As on March 31, 2021) 2. ICICI Prudential Bluechip Fund (Category- Equity: Large Cap) ICICI Prudential Bluechip Fund, an open-ended equity scheme, invests predominantly in large-cap stocks. The scheme provides growth and stability to your portfolio as it invests in blue chip stocks, which are market leaders in their industry. The stocks are well-diversified across sectors. Key information Minimum InvestmentINR 100      Minimum Additional Investment INR 100Minimum SIP InvestmentINR 100Entry LoadNil Exit Load1% of NAV for 365 Days. After one year NilReturn Since Inception13.64 % (Growth) (Date of Inception: May 23, 2008).NAVINR 52.15 (April 20, 2021) (Direct-Growth)AUMINR 26467.80Cr (As on March 31, 2021) 3. ICICI Prudential Focused Equity Fund (Category- Equity: Growth) This is an open-ended equity scheme, investing in a maximum of 30 stocks.  across market capitalization. Key information Minimum InvestmentINR 5000    Minimum Additional Investment INR 5000Minimum SIP InvestmentINR 100Entry LoadNil Exit Load1% of NAV for 365 Days. After one year NilReturn Since Inception12.04% (Growth) (Date of Inception: May 28, 2009).NAVINR 38.92 (April 20, 2021) (Direct-Growth)AUMINR 1216.87 Cr (As on March 31, 2021) 4. ICICI Prudential Long Term Equity Fund (Tax Saving) (Category- Equity: ELSS) This is an equity-linked saving scheme (ELSS), that comes with tax benefits as per section 80C of the Income Tax Act, 1961. The fund aims at generating long-term capital growth and invests primarily in equity & equity-related securities of companies. Key information Minimum InvestmentINR 500    Minimum Additional Investment INR 500Minimum SIP InvestmentINR 100Entry LoadNil Exit LoadNilReturn Since Inception19.43% (Growth) (Date of Inception: August 19, 1999).NAVINR  471.58 (April 20, 2021) (Direct-Growth)AUMINR 8310.40 Cr (As on March 31, 2021) 5. ICICI Prudential Sensex Index Fund (Direct: Growth) The important benefit of investing in this fund is that you gain exposure to equities of top-performing stocks across all sectors. Investing in this fund is a better way of diversifying your portfolio. However, as this fund invests only in stocks, the fund may have a direct impact on the market conditions. Key information Minimum InvestmentINR 100    Minimum Additional Investment INR 100Minimum SIP InvestmentINR 100Entry LoadNil Exit LoadNilReturn Since Inception11.99% (Growth) (Date of Inception: Sep 21, 2017).NAVINR  15.11 (April 20, 2021) (Direct-Growth)AUMINR 248.40 Cr (As on March 31, 2021) 6. ICICI Prudential Value Discovery Fund (Category- Equity: Growth) This is an equity mutual fund that invests in value stocks. It is an open-ended scheme, it invests in stocks that are undervalued and are expected to perform well in the coming days. As this scheme invests in value stocks, you may get a high sale price, and the gains can be big when the market is doing well. Key information Minimum InvestmentINR 1000    Minimum Additional Investment INR 500Minimum SIP InvestmentINR 500Entry LoadNil Exit Load1% of NAV for 365 Days. After one year NilReturn Since Inception19.39% (Growth) (Date of Inception: August 16, 2004).NAVINR  192.77 (April 20, 2021) (Direct-Growth)AUMINR 17798.55 Cr (As on March 31, 2021) 7. ICICI Prudential Multicap Fund (Category- Equity: Multi-Cap) This is a scheme that aims at capital appreciation by investing assets in equity and equity-related instruments across large-cap, mid-cap, and small-cap stocks from a wide range of industries. Key information Minimum InvestmentINR 5000    Minimum Additional Investment INR 1000Minimum SIP InvestmentINR 500Entry LoadNil Exit Load1% of NAV for 365 Days. After one year NilReturn Since Inception14.28 % (Growth) (Date of Inception: Oct1, 1994).NAVINR  349.72 (April 20, 2021) (Direct-Growth)AUMINR 5890.42 Cr (As on March 31, 2021) 8. ICICI Prudential Banking And Financial Services Fund (Category- Equity: Growth) This is an open-ended equity mutual fund that invests predominantly in the stocks of companies operating in the financial sector. The returns from this mutual fund scheme are comparatively stabler than other mutual fund plans. Key information Minimum InvestmentINR 5000    Minimum Additional Investment INR 1000Minimum SIP InvestmentINR 500Entry LoadNil Exit Load1% for 15 DaysReturn Since Inception16.33% (Growth) (Date of Inception: Aug 22, 2008).NAVINR  69.24 (April 20, 2021) (Direct-Growth)AUMINR 3865.10 Cr (As on March 31, 2021) 9. ICICI Prudential Large & Mid Cap Fund (Category- Equity: Long Duration) This is an open-ended equity scheme, that aims to generate a long-term capital growth scheme that predominantly invests in equity and equity-related securities of large-cap and mid-cap companies. This is suitable for conservative investors expecting high returns with medium-term goals, such as wealth creation through SIPs. Key information Minimum InvestmentINR 5000    Minimum Additional Investment INR 1000Minimum SIP InvestmentINR 1000Entry LoadNil Exit Load1% for 15 DaysReturn Since Inception17.59% (Growth) (Date of Inception: July 9, 1998).NAVINR  403.08 (April 20, 2021) (Direct-Growth)AUMINR 3752.71 Cr (As on March 31, 2021) 10. ICICI Prudential MidCap Fund (Category- Equity: Direct Plan-Growth):   This fund provides investors with returns in the form of capital appreciation. This mutual fund scheme invests majorly in midcap stocks. The portfolio is a diversified one, as it invests in stocks across all sectors. Key information Minimum InvestmentINR 5000    Minimum Additional Investment INR 1000Minimum SIP InvestmentINR 1000Entry LoadNil Exit Load1% for 365 DaysReturn Since Inception15.49 % (Growth) (Date of Inception: Oct 28, 2004).NAVINR  124.18 (April 20, 2021) (Direct-Growth)AUMINR 2338.33 Cr (As on March 31, 2021) How can you invest in ICICI Prudential Mutual Fund Via EduFund? Investing in ICICI Prudential Mutual Fund via Edufund is a simple, four-step process.  Step 1: Download the EduFund App from Google Play Store or Apple App Store and create an online account. Step 2:  Select a Scheme - Browse a wide range of ICICI Prudential Mutual Fund schemes and choose the right scheme suiting your financial goals. You may invest in a Systematic Investment Plan (SIP) or a lump sum. The inbuilt recommendation engine suggests the best scheme for your financial objectives. Step 3: View and Track Your Transaction(s) - The amount you have invested will reflect in your EduFund account within four working days. You can track the ICICI Prudential Mutual Fund NAV, account balance, statement, and other information in the app. Alternatively, you can purchase, redeem, or switch ICICI Prudential Mutual Fund units. Step 4: Speak With a Mutual Fund Counsellor - You can connect with a mutual fund consultant to share your goals and get personalized advice.  EduFund uses top-class authentication and encryption technologies to ensure bank-like secured transactions and safeguard your investments.   9 best-performing fund managers at ICICI Prudential Mutual Fund Fund managers play a significant role in driving value and generating growth. The following are some of the best-performing fund managers in ICICI Prudential Asset Management Company whose funds have consistently churned out the best returns.  1. Mr. Sankaran Naren S Naren joined ICICI Prudential AMC in October 2004. As ED & CIO, Naren oversees the entire investment function across the mutual fund and International advisor business. He is instrumental in the overall investment strategy development and execution. He has a rich experience of around 31 years in almost all spectrum of the financial services industry ranging from investment banking, fund management, equity research, and stockbroking operations. His qualifications include a B Tech degree from IIT Chennai and MBA (Finance) from IIM Kolkata. 2. Mr. Rahul Goswami Rahul has re-joined ICICI Prudential AMC now as CIO of Fixed Income. He has been earlier associated with the AMC for the period July 2004 to October 2009 as Co-Head-Fixed Income. In his earlier stint, he was responsible for managing 8 debt funds with prime responsibility on Govt. Bonds and Corporate Bonds trading involved monitoring factors like key economic developments, market liquidity, and Forex movement. He has an overall experience of over 24 years. In his previous role with Standard Chartered bank, he was a Senior Rates Trader & Head of the Primary Dealership Desk. Rahul currently manages 8 funds at ICICI Prudential, i.e. ICICI Prudential Liquid Plan, ICICI Prudential Flexible Income Plan, ICICI Prudential Floating Rate Fund, ICICI Prudential Banking & PSU Debt Fund, ICICI Prudential Medium Term Plan, ICICI Prudential Gilt Fund(All Options). ICICI Prudential Multiple Yield Fund and ICICI Prudential Capital Protection Oriented Fund. Rahul holds a bachelor's degree in Science and an MBA from Bhopal University. Besides Standard Chartered Bank, he has worked with various other organizations like Franklin Templeton, UTI Bank, SMIFS Securities, Khandwala Finance Ltd, and RR Financial Consultants. With over 20 years of experience, he handles an AUM of INR 1,64,265 Cr and 73 schemes (Feb 28, 2021). 3. Mr. Rohan Maru Rohan joined ICICI Prudential AMC in November 2012. As a fund manager, he handles ICICI Prudential Corporate Bond Fund and ICICI Prudential Liquid ETF, along with co-managing ICICI Prudential Liquid Fund, ICICI Prudential Savings Fund, ICICI Prudential Overnight Fund, and ICICI Prudential Global Stable Equity Fund. He also manages the Indian debt portion in ICICI Prudential US Bluechip Equity Fund. Previously, he was a Dealer – Corporate Bonds of the fund house. With an experience of over 10 years, he was associated with Kotak Mutual Funds and Integreon Managed Solutions. He holds a Master of Commerce from Mumbai University and a PGDBA from MET Mumbai. With over 8 years of experience, he manages an AUM of INR 1,09,378 Cr and 34 schemes (Feb 28, 2021). 4. Mr. Rajat Chandak He manages/co-manages several flagship funds, including ICICI Prudential Bluechip Fund, ICICI Prudential Value Fund (Series 4 & 11), ICICI Prudential Bharat Consumption Fund (Series 4), ICICI Prudential Long-Term Wealth Enhancement Fund, ICICI Prudential R.I.G.H.T. Fund, ICICI Prudential Regular Savings Fund, and ICICI Prudential Balanced Advantage Fund. He started his career with ICICI Prudential AMC and has been with the AMC ever since. He carries an overall work experience of more than 10 years. He completed B.Com from Sydenham College of Commerce and Economics in 2005 and an MBA in Finance from the Institute for Financial Management and Research (IFMR) in 2008. With over eight years of experience, he has an AUM of  INR 63,689 Cr under his management and 17 schemes (Feb 28, 2021). 5. Mr. Kayzad Eghlim Mr. Eghlim has over 29 years of experience and is a B.Com (H) and M-Com. Prior to joining ICICI Prudential AMC, he worked with IDFC Investment Advisors Ltd., Prime Securities, and Canara Robeco Mutual Fund. He manages an AUM of INR 13,439 Cr and 20 schemes. 6. Mr. Vaibhav Dusad Mr. Dusad has done B. Tech, M.Tech, and MBA. Prior to joining ICICI Prudential AMC Ltd, he worked with Morgan Stanley, HSBC Global Banking and Markets, CRISIL, Zinnov Management Consulting, and Citibank Singapore. He manages an AUM of INR 27,445 Cr and 7 schemes (Feb 28, 2021). 7. Mr. Mittul Kalawadia As a fund manager, Mittal currently manages multiple funds at ICICI Prudential AMC. Prior to being a fund manager, he was a research analyst for multiple key sectors. He started his career with ICICI Prudential AMC and has garnered an overall work experience of 11 years. His core competency lies in portfolio management and security analysis. By qualification, he is a Chartered Accountant. With over 10 years of experience, he manages an AUM of INR 17,546 Cr and 11 schemes (Feb 28, 2021). 8. Mr. Prakash Gaurav Goel Mr. Goel is a Chartered Accountant & a Bachelor of Commerce Prior to joining ICICI Prudential Mutual fund, he worked with IREVNA Research & Hindustan Unilever. He manages an AUM of INR 6,624 Cr and 9 schemes (Feb 28, 2021). 9. Ms. Priyanka Khandelwal Ms. Khandelwal is a Chartered Accountant and Company Secretary. She has been working with ICICI Prudential Mutual Fund Since October 2014. She manages an AUM of INR 1,074 Cr and 100 schemes (Feb 28, 2021). Why should you invest in ICICI Prudential Mutual Fund?  ICICI Prudential Asset Management Company Ltd. is one of India’s premier fund houses, boasting over 30 lakhs of clientele. The fund house handles considerable Assets under Management (AUM) across diverse asset classes like equities, debt instruments, and sectorial funds, to name a few. Following a totally customer-centric tactic, they flaunt a blend of expertise and resourcefulness, giving investors innovative, consistent, and optimum returns against market risks. This way, it gives customers a way to strike a balance between investments and savings. Their sponsors include ICICI Bank, Prudential Plc, Prudential Corporation Asia, Eastspring Investments, and Jackson National Life Insurance Company, among others. Select Edufund for investing in ICICI Prudential Mutual Fund EduFund makes the process of investing in ICICI Prudential Mutual Fund convenient. EduFund's experienced consultants give you customized solutions for all your financial goals. You can start investing from as low as INR 5,000 and grow your capital comfortably. With EduFund, you get the following benefits: Customized Research-Based Financial Plan - EduFund's scientific fund tracker screens over 1 lakh data points and 400 financial scenarios to recommend you the best mutual funds.  Customer-Friendly Counsellors Help You Create a Financial Plan - EduFund's counselors are trained to handle all kinds of queries from customers. They spend as much time with you as you need and resolve all your issues to help you create a robust financial plan. Invest Less, Earn More - Not only the best Indian mutual funds, but EduFund also offers you the facility to invest in US Dollar ETFs and international mutual funds. Use Free Tools - EduFund offers various free tools for its customers, including College Savings Calculator, SIP calculator, etc.  No Technical Expertise Required - You do not need to be an expert in finance to understand which mutual fund is the best for you. EduFund does it for you. Value-Added Benefits - You may get value-added benefits like no commission, free advisory, and nil-hidden charges. Secure Transactions - EduFund is RIA-registered and uses top-class 128-SSL security to enable safe transactions. Special Support for Children's Education - EduFund has a dedicated team of experts who help you fulfill your children's educational goals.  FAQs What is the best ICICI Prudential Mutual Fund?   Top-rated ICICI Prudential Mutual Fund:   ICICI Prudential Technology Fund (Category- Equity: Thematic/Sectoral)   ICICI Prudential Bluechip Fund (Category- Equity: Large Cap)   ICICI Prudential Focused Equity Fund (Category- Equity: Growth)   ICICI Prudential Long Term Equity Fund (Tax Saving) (Category- Equity: ELSS)   ICICI Prudential Sensex Index Fund (Category- Equity: Growth)   Which is better SIP or Lumpsum? SIPs usually perform better during volatile markets, while lumpsum investments are best suited in ELSS, where they draw higher returns when the market is steady. Which MF is better than FD? Mutual funds usually generate greater returns than FDs since they invest in equities. Though the risk is greater while investing in mutual funds, it can give you inflation-beating returns, which may not be the case with FD returns. Is it good to buy ICICI Prudential mutual fund?   ICICI Prudential Asset Management Company Ltd is a leading asset management company (AMC) in India focused on bridging the gap between savings & investments and creating long-term wealth for investors through a range of simple and relevant investment solutions. The AMC manages significant Assets under Management (AUM) in the mutual fund segment. The company’s growth momentum has been exponential, and it has always focused on increasing accessibility for its investors. The fund house’s growth momentum has been exponential and is driven by an entirely investor-centric approach. Please get in touch with a financial expert before considering investing in the fund.   TALK TO AN EXPERT

What if we told you that you could be a crorepati without going to KBC or without winning a lottery? Would you want to follow that mantra and build a huge corpus for yourself? The Mantra is called *drum roll* the 15 x 15 x 15 rule of investing! It means that, if one follows a diligent financial discipline of investing Rs 15,000 for 15 years in a mutual fund that offers returns of 15% - one would be building a huge corpus that would be greater than Rs 1 Cr. Upon investing Rs 27 lakhs, one creates a wealth of over Rs 73 lakhs! SIP - 15 x 15 x 15Amount15000Expected Return15%Number of years15At the end of the time period – Maturity Invested Amount          27,00,000 Wealth Created          73,27,601 Final Amount        1,00,27,601  If one continues this financial discipline and continues to invest for another 10 years the corpus would build to Rs 4.86 Cr i.e., 4X times in another 10 years. If you want to maintain this for another 15 years i.e., the entire period of investing would be 30 years – the corpus would be over Rs 10.38 Cr which is 10X times what one would have obtained for being invested for 15 years. Compounding has a magical effect on our investments by growing our small contributions into a large sum. Hence, it is always advisable to start the magic early – because “Kal kare so aaj kar aur Aaj kare so ab” applies even to your portfolio of investments. Consider that you would like your child to study in a reputed Ivy league school or a grand college in the States (US). The current tuition and fee for a Public 4-year program are $10,560, which is Rs 7.65 lakhs after the $/Rs conversion rate (1 $ = Rs 72.59). However, this is for a resident of the state. For Indian students or out-of-state students, the fees would be $23,890/year – for 4 years it would be $95,560 which is Rs 69 lakhs. The tuition and fees have increased by 16% over the period of 2011-21 (inflation-adjusted). This implies that after 20 years the fees would rocket to over Rs 1 Cr. Hence, one would have to take this factor of “educational inflation” into consideration when one is saving for their little one’s education. Similar to all investments, it is always better to start as early as possible to reap the benefits of compounding. If your child is to pursue his/her higher education after 15 years, you could follow the 15-cube mantra (15*15*15) to fund the dreams of your little one.  Education Expenses Today          70,00,000 Education Inflation (over 10 years) 16%Number of years20Expected Education expenses (future)          94,19,200 Monthly saving required                                                                    6,697 Expected return rate15%Time Period20 There could be cases where you have a higher time frame for your child. For example: If your child is 2 years old, and would fly off to pursue his or her education after 20 years, the amount that you should be saving to fund his/her education effortlessly would be as shown in the table. Hence as a parent, you would have to save Rs 7000/month to fund your child’s education. The easy way to do this is by downloading the EduFund app and getting started on your investment journey to fulfill your child's dreams. FAQs What is the 15 * 15 * 15 Rule in Mutual Funds? It means that, if one follows a diligent financial discipline of investing Rs 15,000 for 15 years in a mutual fund that offers returns of 15% - one would be building a huge corpus that would be greater than Rs 1 Cr. Upon investing Rs 27 lakhs, one creates a wealth of over Rs 73 lakhs! What is the average return in SIP for 15 years? SIPs in mutual funds can generate an average return of 15 to 18% over the duration of 15 years. However, this return can change according to market changes. Which SIP gives the highest return in 5 years? Axis Bluechip Fund Monthly SIP Plan ICICI Prudential Bluechip FundSBI Bluechip FundMirae Asset Large Cap FundSBI Multicap Fund Is mutual funds taxable after 10 years? Yes, you need to pay the applicable taxes only when you redeem the units or sell the scheme. However, your total income for the financial year in question includes your dividend income from mutual fund schemes.

What are Debt Funds? Debt Mutual funds invest in fixed-income securities such as corporate bonds, government securities, money market instruments, etc. These funds are also known as income funds or bond funds. The difference between the purchase price and the selling price of the securities adds to the NAV of the fund. If the fund bought security for Rs 1000 and had to sell it in extreme market conditions at Rs 900 by making a loss, it would result in the depreciation of the NAV. How do debt funds make money? Debt funds earn through capital appreciation and interest income from fixed-income securities. Consider that a debt fund receives 10% interest per annum; this is divided by 365 and is added to the NAV every day. A debt fund’s NAV hence depends upon the interest rate and the credit rating of its portfolio. If the credit rating of one of the securities that a fund is invested into goes down (due to default), the NAV of the fund also depreciates. The interest rate regime also has an effect on the NAV of the fund. For example, if a fund ABC holds security that offers 8% interest. If the RBI announces a decrease in the interest rates, then any new security would adhere to these new regulations and offer a lower interest rate. This would drive up the demand for pre-existing securities which were offering a higher rate (similar to our security which offered a rate of 8%). Consequently, the price of these bonds/securities would increase, leading to an increase in the NAV of the fund. Types of Debt Funds In the following paragraphs, we aim to provide 2 top-performing funds in each of the debt fund categories and also aim to provide insights on which category would be ideal for you. 1. Liquid & Money Market Funds These funds invest in money market securities with a maturity lower than 91 days. They are considered to be a good alternative to savings accounts and fixed deposits as they offer higher returns and are tax-friendly (when compared to traditional instruments). They have a reasonable level of safety of the invested principal, coupled with liquidity. They typically do not have exit loads. Investor If you have surplus cash or a sudden influx of money – sale of real estate property, bonus, or something similar, instead of parking it in a savings account and earning a meager 4% return, you could consider Liquid funds as an alternative. These are also suitable for risk-averse investors and for investors looking for stable returns and liquidity. Scheme Name1-year ReturnAUMProsConsQuant Liquid Fund4.85%Rs 174.84 CrHave higher 1-year, 3-year, and 5-year returns than the category average.The age of the fund is greater than 3 years.A high expense ratio of 0.62% (could potentially dent your earnings). AUM is less than Rs 1000 Cr, where investors need to keep an eye on the expense ratio as the fees for the operation of the fund are collected from a small base of investors.IDBI Liquid Fund Rs 1114.21 CrHave higher 1-year, 3-year, and 5-year returns than the category average.The age of the fund is greater than 3 years.The expense ratio is on the lower end – 0.13%.AUM is slightly higher than Rs 1000 Cr, where investors need to keep an eye on the expense ratio as the fees for the operation of the fund are collected from a small base of investors. 2. Gilt Funds Gilt funds invest in Government securities of State and Central governments with different bond tenures (or varying maturities) such as 1-year, 3-year, 10-year, etc. Government bonds are considered to be risk-free and have a zero probability of default (Credit risk is zero). However, these funds are subject to interest rate risk i.e., the portfolio’s worth appreciates or depreciates depending on the interest rate regime in the economy. Investor These are suitable for a risk-averse investor. They are beneficial in a falling interest rate environment as these funds would have underlying securities which would carry a high coupon. Scheme Name1-year ReturnAUMProsConsICICI Prudential Gilt FundExpense Ratio: 0.61%Min SIP Amount:Rs 100011.12%Rs 4,086.85CrHave higher 1-year, 3-year, and 5-year returns than the category averageExit Load is ZeroNoneDSP Government Securities FundExpense Ratio: 0.54%Min SIP Amount: Rs 50010.36%Rs 444.52 CrHave higher 1-year, 3-year, and 5-year returns than the category averageExit Load is ZeroNoneEdelweiss Government Securities FundExpense Ratio: 0.41%Min SIP Amount: Rs 50012.07%Rs 88.68 CrHave higher 1-year, 3-year, and 5-year returns than the category averageExit Load is ZeroAUM is slightly higher than Rs 100 Cr, where investors need to keep an eye on the expense ratio as the fees for the operation of the fund is collected from a small base of investors. 3. Short-Term Funds Funds that invest in securities that have a maturity of 1-3 years with high liquidity. The fund invests in corporate bonds, certificates of deposit, commercial paper, and government securities with medium and long-term maturities. They are prone to a lower interest rate risk when compared to medium and long-term funds. This aids the funds to sail through adverse market conditions. Investor They are ideal for risk-averse investors who aim to receive higher post-tax interest or returns (when compared to FDs). When the investment horizon is greater than 1 year. Scheme Name1-year ReturnAUMProsConsAditya Birla Sun Life Short-Term FundExpense Ratio: 0.39%Min SIP Amount: Rs 10012.00%Rs 7,001.71 CrHave higher 1-year, 3-year, and 5-year returns than the category average.Exit Load is ZeroThe expense ratio is on the lower endNoneICICI Prudential Short-Term Fund Expense Ratio: 0.44% Min SIP Amount: Rs 10010.92%Rs 22,254.84 CrHave higher 1-year, 3-year, and 5-year returns than the category averageExit Load is ZeroThe expense ratio is on the lower endThe AUM of the fund is greater than Rs 20,000 Cr. After crossing this benchmark, the returns of the fund tend to be stagnated or experience a downturn 4. Medium-Term Funds Funds that invest in securities that have a medium-term maturity of 3-4 years. SEBI mandates that these funds invest in securities that have a Macaulay duration of 3-4 years. They earn higher post-tax returns when compared to a 5-year bank FD. One can also choose to opt for monthly income plans if one wishes to receive a periodic income from their investments. Investor They are ideal for risk-averse investors who aim to receive higher post-tax interest or returns (when compared to FDs). They are also ideal for the diversification of risk. They are less volatile when compared to equity funds and are also less prone to interest rate risk when compared to long-term funds.  Scheme Name1-year ReturnAUMProsConsSBI Magnum Medium Duration FundExpense Ratio: 0.68%Min SIP Amount: Rs 50010.88%Rs 8,505.15 CrHave higher 1-year, 3-year, and 5-year returns than the category averageNoneICICI Prudential Medium Term Bond FundExpense Ratio: 0.73%Min SIP Amount: Rs 100011.12% Rs 6,437.31 CrHave higher 1-year, 3-year, and 5-year returns than the category averageNone 5. Dynamic Bond Funds Funds are actively managed or employ a dynamic investment/asset allocation strategy by reducing the average portfolio duration (or maturity) in increasing interest rate environments and increasing the duration in a falling interest rate regime. These funds hence provide an option to the investor to earn from the interest rate fluctuations. Investor They are suitable for investors who would like to stay invested for the long term without worrying about the interest rate movements affecting their wealth creation.   Scheme Name1-year ReturnAUMProsConsAxis Dynamic BondExpense Ratio: 0.25%Min SIP Amount: Rs 100010.88%Rs 8,505.15 CrHave higher 1-year, 3-year, and 5-year returns than the category averageExit Load is zeroThe expense ratio is on the lower endNoneKotak Dynamic Bond FundExpense Ratio: 0.47%Min SIP Amount: Rs 100011.12% Rs 6,437.31 CrHave higher 1-year, 3-year, and 5-year return than the category averageExit Load is zeroThe expense ratio is on the lower endNone 6. Credit risk funds These funds allocate 65% of their total assets for the purchase of lower-rated securities (lower than AA- credit rating) and offer higher returns to their investors. The credit risk is higher for these funds. The interest rate risk is comparatively lower as these funds invest in securities with low maturities. The funds also gain from capital appreciation if the underlying security is upgraded to a higher credit rating. Investors These are only suitable for investors who are willing to take a higher risk. This is due to the lower credit securities as a part of the portfolio which have a higher probability of default. Scheme Name1-year ReturnAUMProsConsICICI Prudential Credit Risk FundExpense Ratio: 0.90%Min SIP Amount: Rs 100010.01%Rs 7,209.19 CrHave higher 1-year, 3-year, and 5-year returns than the category averageNoneHDFC Credit Risk Debt FundExpense Ratio: 1.06%Min SIP Amount: Rs 50011.25% Rs 7,315.34CrHave higher 1-year, 3-year, and 5-year returns than the category averageThe expense ratio is on the higher end FAQs What are debt funds? A debt fund is a mutual fund that invests in fixed-income instruments such as treasury bills, commercial paper, government bonds, corporate bonds/debentures, money market instruments, etc. What are the benefits of debt funds? High Liquidity Investment Horizon Higher Returns Tax Efficiency Flexibility Who should invest in debt funds? Debt funds are for investors looking for a passive and regular income. These are ideal for risk-averse investors who prefer Is it good to invest in debt funds? Yes, debt funds are a great investment option for investors. These offer higher returns over a long investment horizon and are tax-efficient as well. Which are the best debt funds to invest in now? Here are the best debt funds to invest in:Aditya Birla Sun Life Low Duration FundNippon India Money Market FundICICI Prudential Ultra Short-Term FundAxis Ultra Short-Term Fund How Do Debt Funds Make Money? Debt funds earn through capital appreciation and interest income from fixed-income securities. Consider that a debt fund receives 10% interest per annum; this is divided by 365 and is added to the NAV every day. A debt fund’s NAV hence depends upon the interest rate and the credit rating of its portfolio. If the credit rating of one of the securities that a fund is invested into goes down (due to default), the NAV of the fund also depreciates. You can start your research as well as investments on the EduFund app!

What can you do with Rs 500 today? Get an amazing lunch or dinner for two at a decent restaurant in town? Or get a Pizza for two? Or get a cool T-shirt from an online store? Alternatively, with Rs 500, you could have a large pot of money to send your child to their dream college and fulfill their aspirations. One can choose the route of saving Rs 500/ month through SIP plans with mutual funds and have a considerable sum of money by the end. What is a SIP? A Systematic Investment Plan or SIP is a way in which you can choose to invest a fixed amount with the mutual fund at regular intervals (say a month or a quarter). SIPs aid in creating financial discipline and saving towards a goal. They reduce the burden on the investor by allowing them to invest small sums instead of a large cash outflow or lumpsum amount at once and provide the investor with decent returns. To forgo lifestyle expenditure and to start investing would be difficult for early boomers in the starting stages of their careers. Once the investor opts for an SIP (or more SIPs), the amount as specified by the investor automatically gets debited from the bank account that is linked to the SIP. Hence, you are investing for your future automatically without you making any separate effort towards it. Can I save Rs 500 and have something tangible in the end? SIPs in India allow for investing with a minimum amount of Rs 500. Hence, as an investor, instead of ogling at the stock/trading screens and making desperate attempts to time the market and fanatically buying and selling stocks, you could simply invest in Mutual funds. Mutual funds take care of diversification (putting your eggs into different baskets), invest in the best stocks, and finally earn you a decent return. Let us consider some scenarios - Case 1 As a very young investor, a graduate who has earned his or her first paycheck, you could start saving Rs 500 into a SIP. Even if you maintain this as your amount and invest for 35 years, by the time you are 56, you will have Rs 1.76 Cr in your investment pot. Hence with an investment of Rs 2.1 lakhs, you would be creating a wealth of Rs 1.7 Cr. SIPAmount500Expected Return18%Number of years35At the end of the time periodInvested Amount2,10,000Wealth Created1,70,79,403Final Amount1,72,89,403 Case 2 Even if you do not have 35 years till your child starts to go to college, you can still create a large amount of wealth by having this discipline for 20 or 25 years. The results are as follows. SIPAmount500Expected Return18%Number of years20At the end of the time periodInvested Amount            1,20,000 Wealth Created          10,34,427 Final Amount          11,54,427  SIPAmount500Expected Return18%Number of years25At the end of the time periodInvested Amount            1,50,000 Wealth Created          27,18,627 Final Amount          28,68,627  In both cases, the wealth created is 9x or 18x times the amount invested by you. As one can see in the above charts a small difference of 5 years creates a great compounding effect where Rs 500 amounts to Rs 28.6 lakhs when invested for 25 years and amounts to less than half the amount of Rs 11.54 lakhs when invested for 20 years. Hence, by being an early saver, one can create a tremendous amount of wealth with minimal effort. You can start your investment journey today with a SIP in the top mutual funds in the country with EduFund. FAQs Is SIP really beneficial? Yes, SIP is one of the best ways to start investing in mutual funds, index funds, or ETFs. It allows you to invest in a systematic way over a long period of time. Can I start a SIP of 500 per month? Yes, many mutual funds allow investors to invest a minimum of Rs. 500 every month. It helps in growing your wealth over a period of time. Which mutual fund is best for 500 per month? There are many mutual funds that offer Rs. 500 per month such as Axis Long-Term Equity FundAxis Bluechip FundSBI Equity Hybrid FundParag Parikh Flexi Cap FundSBI Focused Equity Fund

Equity Funds primarily invest in equity (stocks) and equity-related instruments. According to SEBI’s regulations, an equity fund should invest at least 65% of its assets into equity and equity-related instruments. These funds are ideal for most people who aim to invest for a longer time horizon for wealth creation. Investors need not possess any financial knowledge before investing their hard-earned money into these well-managed funds, as sufficient research and analysis are conducted by the fund manager and their army of analysts before investing. The funds are also diversified, hence reducing the blow of volatility (the higher the diversification, the lower the effect of adverse market or underlying security movement) in the market, and also allowing the retail investor to gain returns over smaller investment corpora.  Below is the list of top-performing equity funds, which includes information on their 1-year, and 3-year returns, AUM, the performance of the fund, and their pros, and cons. 1. Axis Long-Term Equity Fund Minimum Investment Amount (Lump Sum)Rs 5000Minimum SIP Investment AmountRs 500Expense Ratio 0.72%AUMRs 28,556.83 Cr Performance The fund has delivered an annualized return of 14.85% over the last 3 years (54.47% over the past 1 year) and has constantly outperformed its benchmark (S&P, BSE 200 Total Return Index).  Pros  The fund has higher 3-year and 5-year returns as compared to the category average. ELSS fund – Tax haven for 80C Cons Assets Under Management (AUM) of the fund are greater than Rs 20,000 Cr. When a fund crosses a certain AUM threshold, the returns from the fund tend to decrease or stagnate. Investors should monitor the performance 2. Parag Parikh Flexi Cap Fund Minimum Investment Amount (Lump Sum)Rs 1000Minimum SIP Investment AmountRs 1000Expense Ratio 0.96%AUMRs 8,701.65 Cr Performance The fund has delivered an annualized return of 21.11% over the last 3 years (76.57% over the past 1 year) and has constantly outperformed its benchmark (NIFTY 500 Total Return Index). The fund is suitable for investors who are looking to invest for greater than 3-4 years. The fund invests across market capitalizations (Flexi cap – large, mid, and small-cap) to deliver above-category average returns to its investors. Pros Fund has higher 1-year, 3 years and 5-year returns as compared to the category average Low expense ratio Cons None. 3. SBI Equity Hybrid Fund Minimum Investment Amount (Lump Sum)Rs 1000Minimum SIP Investment AmountRs 500Expense Ratio 0.97%AUMRs 38,080.12 Cr Performance The fund has delivered an annualized return of 12.20% over the last 3 years (42.72% over the past 1 year) and has constantly outperformed its benchmark (CRISIL Hybrid 35+65 Aggressive Total Return Index). The fund invests in a mixture of debt and equity (as the name hybrid suggests) - invests in high-growth companies and balances this risk/volatility by investing in fixed-income securities. (At least 65% in equity and 20-35% in debt and money market instruments)   Pros Fund has higher 1-year, 3 years and 5-year returns as compared to the category average Low expense ratio Cons Assets Under Management (AUM) of the fund is greater than Rs 20,000 Cr. When a fund crosses a certain AUM threshold, the returns from the fund tend to decrease or stagnate. The investors should monitor the performance. 4. SBI-Focused Equity Fund Minimum Investment Amount (Lump Sum)Rs 5000Minimum SIP Investment AmountRs 500Expense Ratio 1.77%AUMRs 14,533.37 Cr Performance The fund has delivered an annualized return of 13.08% over the last 3 years (51.60% over the past 1 year) and has constantly outperformed its benchmark (S&P BSE 500 Total Return Index). The fund aims to deliver high returns to its investors by investing in a highly concentrated portfolio containing equity and equity-related instruments. (At least 65% in Equity and 20-35% in debt or fixed income and 0-10% in REIT/InVIT) Pros Fund has higher 3-year 5 year and 10-year returns as compared to the category average. The fund has been in the market for over 10 years. Cons High expense ratio 5. Axis Bluechip Fund Minimum Investment Amount (Lump Sum)Rs 5000Minimum SIP Investment AmountRs 500Expense Ratio 0.55%AUMRs 25,134.85 Cr Performance The fund has delivered an annualized return of 16.55% over the last 3 years (46.32% over the past 1 year). The fund has constantly outperformed its benchmark index (NIFTY 50 Total Return Index). It invests in large-cap companies which have stable balance sheets and are market leaders in their respective sectors. It provides its investors with stable, reliable, and high returns. Suitable for investors seeking long-term investment options (of greater than 5 years).  Pros Fund has higher 1-year 3 years and 5-year returns as compared to the category average. The expense ratio is on the lower end. The fund has no lock-in period. Cons Assets Under Management (AUM) of the fund are greater than Rs 20,000 Cr. When a fund crosses a certain AUM threshold, the returns from the fund tend to decrease or stagnate. Investors should monitor the performance FAQs Which mutual fund is best in the current situation? Here are some of the best mutual funds in the current situation: Axis Long-Term Equity Fund Axis Bluechip Fund SBI Equity Hybrid Fund Parag Parikh Flexi Cap Fund SBI Focused Equity Fund What are the best 5-star mutual funds? Axis Long-Term Equity Fund Axis Bluechip Fund SBI Equity Hybrid Fund Parag Parikh Flexi Cap Fund SBI Focused Equity Fund What are the top 3 mutual funds? Some good performing mutual funds in India are:Parag Parikh Flexi Cap Fund Axis Bluechip FundSBI Focused Equity Fund Is today the right time to invest in mutual funds? There is no fixed right time for investing in mutual funds. You can start investing whenever you wish to enter the market and reap the benefits of compounding. Conclusion In a nutshell, here's why should you invest in equity funds - Highly diversified Can invest in smaller amounts and still reap the benefits of high returns Highly regulated by SEBI (Investor Protection) Tax benefits - Indexation, LTCG and STCG Offer higher returns than traditional instruments (however, have a higher risk than debt funds) You can get started on your investment journey by downloading the EduFund app today! DisclaimerMutual fund investments are subject to market risks. The past performance of a fund is no surety of the future performance of the fund.

What are blue-chip companies? The blue-chip companies with a large market capitalization (i.e., how much a company is worth. For example, ABC Corporation has 10 lakhs of outstanding shares the shares held by the shareholders which include retail investors like you and me, institutional investors like large companies, and owners of the companies themselves. Assume that the price of each share in the market is Rs 1000. Then the market capitalization would be = Price of the share * Number of outstanding shares = 100* 10 lakhs = Rs 10 Cr). The Market Cap of these companies runs in lakhs of crores and these companies have been in the market since your grandfather had his first tooth. So, these companies are ancient and have been in the market for a very long time. Most of them are market leaders in their respective sectors and have been showing consistent performance despite the ups and downturns of the volatile market. Why are these considered safe bets? These stocks belong to large companies which are established and are financially sound where they have large amounts of cash or their profits fund their growth or they can honor their debt obligations without any nasty case of default or bankruptcy. They have stable cash flows (Unilever, P&G, ITC, TCS, etc.) as they sell widely accepted, recognized, and high-quality products. As they have stable earnings, they also provide dividends to their shareholders (dividends are a share of profit that the company has earned in a quarter or in that financial year). Investors also categorize them as safe havens and rely on them to bounce back faster than the market owing to the experience and stability (less volatile) in stormy and rough market conditions. Wait, why are dividends important? Smaller companies borrow from financial institutions and invest their profits earned to fuel their growth. These companies do not have the ability to share the profit pie with their investors until they grow to a sufficient size. Bluechip companies, on the other hand, provide you with a regular income in the form of a dividend (apart from the price fluctuations – usually upwards in the market). This becomes important to an investor like you and me because these dividends are our other income or earnings which typically increase with inflation – hence we receive a higher dividend than the previous year to match that standard of living. They also indicate the stability and resilience of the company to economic downturns (a positive side effect indeed). These stocks and the funds which invest in these stocks are ideal for risk-averse or conservative investor who wants to grow their wealth with minimum exposure to volatility and risk of the market. As an investor, if you are looking to invest over a longer period (say for your 4-year-old’s education or your 10-year-old daughter’s wedding etc.) – i.e., a time frame greater than 5 or 7 years, bluechip stocks provide you with a safe and stable return. How do you invest in these stocks? You can either invest directly by choosing a sector, studying the company, performing your analysis, and adding your stock to your beloved portfolio or you can pay someone to do the above for you as you sit back and relax and see your money grow into a large corpus this is the idea of a Mutual Fund. Most mutual fund advisors/companies use Blue Chip funds synonymously with large-cap funds. Some of these funds also contain the name Blue Chip in them – for example, SBI Bluechip fund, ICICI Prudential Bluechip Fund, etc. SEBI mandates that > 80% of the fund’s portfolio should be invested in the top 100 companies sorted by market cap – which would be the blue chip companies. These funds also have the minimum SIP requirement of Rs 500, (or less) which makes it affordable to start building your retirement pot or the corpus for your future generation. FAQs What are blue-chip companies? The companies with a large market capitalization (i.e., how much a company is worth. For example, ABC Corporation has 10 lakhs of outstanding shares the shares held by the shareholders which include retail investors like you and me, institutional investors like large companies, and owners of the companies themselves. Why are companies called blue chip? Companies that have a large market capitalisation are called blue chip companies. These companies are very large and well-recognised companies with a long history of sound financial performance. For example, Unilever, P&G, ITC, TCS, etc. What are 10 bluechip stocks in India? 10 bluechip stocks in India are State bank of India, Bharti Airtel, Tata consultancy services, Reliance Industries, Coal India, HDFC, ITC, Infosys, ICICI Bank, ONGC, GAIL, and Sun pharma. Conclusion In short, Bluechip funds have consistent returns, are highly reliable companies (financially), and have a lower risk (as they are stable and less volatile) partly describing the qualities of a life partner. These funds also offer diversification into multiple sectors, hence giving you a balanced and low-risk portfolio suitable for your risk appetite. Consult an expert advisor to get the right plan TALK TO AN EXPERT

We often hear the word 'volatility in our day-to-day lives. What does volatility mean? A constant change or a rapid change, and can also mean unpredictability. Well, we live in a VUCA world (Volatility, Uncertainty, Complexity, and Ambiguity) where Volatility is a part and parcel of our life. We try to reduce financial uncertainty by constantly saving in our piggy banks (aka our investment portfolio). We also minimize the uncertainty of life using life insurance products. Funds and securities are also volatile in this VUCA world. However, we can measure the volatility and make informed choices about our investments. When we go to some of the websites to make our choice for investing in one of the funds, we often come across indecipherable Greek alphabets such as alpha, beta, etc. This article is to decode the jargon around volatility, and we assure you that the next time you visit a website or read a report on a fund, it will surely make more sense. What is volatility in mutual funds? It means a simple up-and-down, market movement in the value (prices or Net asset value).  Consider the two cases as shown in the following figures. If the expected price of the stock based on the analysis of historical data is Rs 58. In Case A, in a short span of time, as an investor or a market participant, I see that the stock has sudden upward movements ranging to Rs 80 and also has a downward movement reaching Rs 40. Hence, the stock is deviating from the expected price (or the mean price) – this case is considered to be highly volatile or highly unpredictable. In Case B, we observe that the price is stable or is hovering around the expected price. This stock or fund is considered to be less volatile. Higher volatility indicates unpredictability – and is perceived as a risk. As an investor, I hence command a higher return as a “price” for my sleepless nights. If I am willing to take a risk, I invest in Case A, where I could be earning a profit of Rs 22 (higher than Case B) or losing Rs 18 (based on the example) – a double-edged sword indeed. Volatility is hence a measure that one must consider before investing. As investors, each of us has a different risk appetite. Some of us can sleep even when our portfolio suffers a downward swing of 15%, whereas some of us have nail-biting moments when our portfolio sinks by a mere value of 5%. Determining your risk aversion becomes a paramount factor in building a tailored portfolio – It is up to you to determine if you want to jump onto the roller-coaster or to take on an easy slide. How to measure volatility in mutual funds? Going back to 10th-grade Mathematics - Standard Deviation The standard deviation essentially indicates the fall and rise of the returns of a fund or the prices of a stock/security. Does it indicate the variation from the mean return? higher the variation, the higher the standard deviation implying higher volatility. Consider Case B or a fund with a constant return of 9% over a 3-year horizon. Here, the standard deviation is said to be zero (as the mean is 9% and the return every year is 9%) and the fund is less volatile. However, consider Case B or a fund with returns of 9%, -18%, and 15% in each of the 3 years considered. The mean return of the fund is 6% (average of the returns), and the standard return would be a very high value (here, 17.58%) as the returns of the fund vary from the mean. However, volatility is one of the indicators of risk, and should not be the only variable that is considered by the investor. Stable past performance does not indicate the same for the future, but it could serve as a good way to project the future. Hence, as an investor what should you be looking at when you are choosing a fund? Try to minimize risk (volatility) and maximize returns – look for funds that give you similar returns and compare the standard deviations. Add the one with a lower standard deviation into the portfolio. The Greek letter - Beta (β) This Greek letter compares the returns of the fund with its benchmark. The beta of the market (here, the benchmark) is 1. If the fund has a β>1, say 1.5 then it indicates that the fund is more volatile when compared to its benchmark, and a fund with a β<1, is considered to be lesser volatile than the benchmark. When the β is closer to 1 it indicates that the volatility of the fund is closer to that of its benchmark.  Example: Consider β =1.5 for a fund. When the market rises by 10%, the fund’s Net Asset Value would rise by 10%* β = 15%. Similarly, if the market falls by 5%, the fund would decline by 5%* β= 7.5%. Hence, while choosing a fund consider the one which offers maximum returns with a lower β. FAQs How do you calculate the volatility of a fund? The volatility of a fund is calculated as the standard deviation multiplied by the square root of the number of periods of time, How do you explain volatility? Volatility refers to the movement of stock prices. When the price of a stock increases or decreases over a particular period, it indicates its volatility. How do you explain the volatility of a portfolio? Portfolio volatility means portfolio risk. It talks about the fund or portfolio's deviation from the set standard. What is good volatility? Volatility within a range of 10-20% is average and therefore, indicates minimal risk and deviation from the standard. DisclaimerMutual funds are subject to market risk. Please read all documents carefully before investing

A benchmark in mutual funds measures the overall performance of the fund against a set standard in the market. Let us explain! We all have a “Sharma Ji Ka Beta” in our lives, who has always been 'our benchmark' for the best academic performance, best campus placement, or the one who possesses the best car, etc. He is used as the SI unit for Success by our Indian parents. Similarly, the Mutual Funds are also compared with their respective Benchmarks, to assess their performance.  What is a benchmark? Benchmark in mutual fund or finance parlance is an index or a group of unmanaged stocks which are used to assess the fund’s performance, which is directly linked to the efficiency of its fund manager. Market indices like Sensex, Nifty, and others, serve as benchmarks with which the annualized returns generated by the funds are compared against. For example, ABC fund generates an annualized return of 12.3%, whereas its benchmark generates 15% annualized returns, then the fund has clearly underperformed.  SEBI mandates the declaration of benchmarks to the fund houses (Asset management companies that manage mutual funds such as HDFC, ICICI Prudential, etc.). This aids the investor in making an informed choice about investing or exiting from the fund. The current return assessment of the benchmark returns incorporates the dividends to provide accurate information to the investor. Fund houses select the benchmark that they would like to beat, by considering various factors such as - 1. Market Capitalisation If the investment strategy of the fund is to majorly invest in large-cap securities, then it would compare itself with the Nifty 50; if it is a Small-cap fund – S&P Small Cap Index, etc. (Link to refer to the information on mutual funds, their benchmarks, and annualized returns)  2. Sector/Thematic Focus where a mutual fund invests only in a specific sector of the economy such as energy, infra, real estate, etc. One can use the benchmark to have a common yardstick for the funds that are in the same category (Large-cap, Small-cap, Mid-cap, etc). For example, Mutual fund A outperforms the index or benchmark by 6% whereas Mutual Fund B beats it by 2%; hence providing a vivid picture to the investor.  How is this a report card of the fund manager? Mutual funds promise to deliver a higher return than the market on your invested amount (also called “beating the market”) and even charge a management fee known as expense ratio for the same. The fund manager actively sells, buys, hunts for opportunities to pounce, and takes informed choices on the behalf of thousands of investors invested in the fund. If a mutual fund is delivering lower returns when compared to its benchmark – an index, it indicates that one would have earned more by investing in an Index fund (passive fund) which mirrors the stock allocation in the indices. Hence, the performance against the respective benchmark becomes the report card of the efficiency of the fund manager. Benchmarks should be used to assess the performance of the fund only after a reasonable duration of 1 year. This also provides a larger window to measure the risk associated with the fund. One also needs to assess the consistency in performance. For example, due to market downturns, the index has declined by 20%, but if the fund has declined by 15%, and also outperformed the benchmark in previous years, it can be considered for investing.  FAQs What is a benchmark? Benchmark in mutual fund or finance parlance is an index or a group of unmanaged stocks which are used to assess the fund’s performance, which is directly linked to the efficiency of its fund manager. Who sets the benchmark of mutual funds? In India, SEBI mandates the declaration of benchmarks to the fund houses (Asset management companies that manage mutual funds such as HDFC, ICICI Prudential, etc.). Conclusion There could be a Benchmark error, where the mutual fund compares itself against a wrong yardstick. This could lead to an incorrect evaluation of the performance due to the large difference in the returns. However, as an investor, I could compare the returns of the fund with the category average which abides by the same rules of asset allocation (E.g., large-cap funds are required to invest 60% of the total portfolio into large-cap/ blue-chip companies). For example, I would like to invest in a Small Cap fund, hence taking an average of the returns of the Small Cap funds, I arrive at an average that shows if my fund has outperformed or underperformed with respect to its peers). One can also compare the annualized returns with benchmarks provided by research institutions such as Morningstar. They conduct detailed research into the investment portfolio, assess the asset allocation, and declare the appropriate benchmark. (Link to an example of Morningstar tool to assess fund performance) DisclaimerThe above article is only for educational purposes. It is not an endorsement or recommendation to the investment strategies. Hence, no information in this article constitutes investment advice. Past performance is not indicative of future returns. Investments are subject to market risk.

Mutual funds have been the buzzword in the investment arena and a large number of budding investors are exploring this vehicle. Despite the awareness around this vehicle, the level of understanding of the nuances that exist in this investment route is very minimal. If you have been boggled by the jargon in the industry and would like to understand “What are mutual funds?” and the various benefits of investing in them, you have clicked on the right link – as this article provides you with a starter kit to navigate the financial jargon labyrinth. What is a Mutual Fund? Mutual funds are investment vehicles that pool money from a large set of investors and invest this net corpus into various asset classes such as government securities, corporate bonds, stocks of companies, and other money market instruments to earn the promised returns to its investors. A fund manager is the one who plays the role of the driver to this investment train and channels the pool of investments to align with the investment mandate and objective. Multiple schemes are launched by Asset Management Companies (AMCs) or fund houses to match the investment objectives of various investors. The profits (or losses) earned are apportioned according to the amount invested. For example, as shown in the figure below, 4 investors invest 1 to 4 coins in a mutual fund. After a year, the fund generates profits through these investments (capital gains or dividend earnings from the equity instruments or interest income through debt instruments). These are apportioned accordingly as 1 to 4 stars (representing units of profits) to the respective investors. As an investor, when you invest in mutual funds, you receive units of the fund in return representing your investment – similar to buying stocks of a company (however, one does not get voting rights into any company). These units are easily redeemable in the market. The price of each unit is known as Net Asset Value (NAV) and is obtained after the profits earned from the fund are adjusted for expenses and liabilities of the fund. Net Asset Value NAV = Fund Assets - Fund Liabilities or Expenses / Number of Units For example, XYZ Asset Management Company has launched a new fund and collects Rs 1 lakh from 10 investors. The fund house determines the NAV of the fund to be Rs 10. Hence each of the 10 investors receives Rs 10,000/10 (Units = Investment Amount/NAV) = 1000 units. Over a period of 1 year, the fund invests in multiple securities and earns profits which translates to an increase in NAV to Rs 15. Now, the investment value of each of the investors would have increased to Rs 15 * 1000 = Rs 15000 (New NAV * units held by the investor). Why should you invest in a mutual fund? Diversification, management of your money by financial experts, flexibility, and higher returns than typical bank deposits are some of the reasons which make mutual funds an ideal investment option. 1. Money managed by experts The fund managers who manage the pool of money are financial experts who are well-versed with the market and its patterns and have an excellent track record of managing funds. An enormous amount of research is done by the research analysts on each of the stocks or assets or sectors. This aids in handpicking the best stocks in the market. 2. No lock-in period Mutual funds do not have a lock-in period where an investor cannot withdraw the funds. Some of the instruments in the market do allow a withdrawal but charge a fat penalty for the same. Most of the mutual funds are categorized under the umbrella of open-ended schemes and have different levels of exit loads (small fees charged by the AMC for exiting the fund). ELSS, which is a tax-deductible instrument comes with a lock-in period of 3 years. 3. Flexibility Mutual funds provide the flexibility of entering and exiting the fund which is a highly desired option for most of the investors and is not available in most of the options in the market. This is owing to the high liquidity in the secondary markets (buying and selling over exchanges) for the mutual funds. Investors have also started considering mutual funds as a vehicle to save for their emergency fund.  4. Liquidity With the absence of a lock-in period, an investor can redeem his/her investments in case of a financial emergency. There is also a high level of convenience of completing the process within a few button clicks when compared to the long procedures of other investment counterparts. Post the request, the fund house credits the money into your account within 3-7 business days. 5. Diversification As a retail investor, one cannot mimic the market as our ticket sizes for investments would be very low compared to the level of diversification required to beat the market. Mutual funds invest across various asset classes or various sectors in the case of securities thus providing you with the benefit of diversification. Hence, an investor need not lose his sleep, over market volatility and fluctuations as the fund takes care of such market shocks.  6. Lower cost Due to the economies of scale of managing a large pool of money, the funds charge a very small % of the fees (also known as the expense ratio) from the investors for managing their investments. The fees range from 0.5% - 1.5% and do not exceed 2.5% which is the maximum fee that a fund can charge as per the mandates of SEBI. 7. Fund switch options Mutual funds also provide an option to the investor to switch to another fund under the fund house. It gives a smooth option to enter and exit the fund and to transfer the investments into another fund with another sector/objective of his/her choice based on the risk appetite and other factors. Systematic Transfer Plans are also available in the category which facilitates a smooth transfer of Debt to Equity hence enabling a reallocation of the portfolio of the investor. 8. Tax saving Equity Linked Savings Scheme (ELSS) can be used for tax deductions up to Rs 1.5 lakhs under Section 80C of the Income Tax Act of 1961. The instrument comes with the lowest lock-in period of 3 years when compared to other tax-saving instruments. It offers the benefits of wealth accumulation and tax savings. 9. Rupee cost averaging Investing into mutual funds through SIPs averages the cost of purchase of the units of the fund. In a bull market, where the prices are high, one purchases a lower number of units, whereas, in a bear market, one accumulates the units. Hence over a period of time, the cost of the units gets averaged providing the best price for the investor and eliminating the need to time the market. 10. Regulation SEBI strictly monitors the functioning of the mutual funds and has sacrosanct guidelines to the AMCs, ensuring the safety of the investments of a large number of retail investors. How to invest in mutual funds? There are multiple routes through which one can make investments in Mutual Funds 1. Fund houses Online website: Most fund houses provide the facility for opening an account through the fund house’s official website. The KYC or e-KYC process needs to be completed by filling in the details – PAN and Aadhar number. Post the verification of information, the fund house intimates you, and you can start investing. This hassle-free and the quick route is preferred by most investors. Apps: Fund houses also allow investors to invest, sell and buy through mobile devices. A detailed account of your portfolio can also be viewed on these apps. Offline: By visiting the nearest branch office of the fund house, where an application form is provided to initiate your account. Ensure to carry the following - Passport Size Photograph Identity Proof Canceled check Address Proof 2. Broker Also known as a mutual fund distributor, they will aid you through the end-to-end process of your investment. Information regarding the documents required and other guidelines will be provided to you along with guidance on the funds to invest in. A fee is charged by this intermediary for his/her services and is deducted as a % of your investments. 3. EduFund EduFund is a simple-to-use app that helps you invest in over 4000 mutual funds in India from all the leading fund houses in the country. The process to begin takes very little time and is quite intuitive. You just have to download the app from the app store and fill in some information to get started. FAQs What is a Mutual Fund? Mutual funds are investment vehicles that pool money from a large set of investors and invest this net corpus into various asset classes such as government securities, corporate bonds, stocks of companies, and other money market instruments to earn the promised returns to its investors. Why should you invest in a mutual fund? Diversification, management of your money by financial experts, flexibility, and higher returns than typical bank deposits are some of the reasons which make mutual funds an ideal investment option. How to invest in mutual funds? To invest in mutual funds, you can approach a broker, invest directly with the AMC and through financial investment app. Conclusion It is nearly impossible to time the market. However, with mutual funds, you need not hunt for the right time to invest because the right time would be now! Consult an expert advisor to get the right plan TALK TO AN EXPERT

Investing is no longer associated with wealth. To protect one's future it has become essential. In this blog, let's compare Life Insurance Corporation of India (LIC) vs. Public Provident Funds (PPF) vs. Equity Linked Savings (ELSS) funds to see which is a better option for you. What are LIC plans? The insurance and investment firm Life Insurance Corporation of India is owned by the government. It provides individualized policies to meet each person's insurance needs. One of the first life insurance companies and a pioneer in the insurance industry is LIC. Life insurance shields a family from unforeseen events like death. It helps to secure the financial future of a family. In the event that the family's primary provider dies suddenly, life insurance's primary objective is to provide "death benefits" to the dependents. Features of LIC plans Policy Holder: The life insurance policy's premiums are paid by the insured. They also agree to the terms of the company's life insurance policy. Premium: It's the sum that the policyholder pays to the insurance provider to have their life covered. Maturity: It is the period of time following the conclusion of the policy term and the termination of the life insurance contract. What is PPF? A portion of one's annual income is set aside in the Public Provident Fund, also known as PPF, which is a popularly abbreviated savings vehicle. If the money was received on maturity, PPF investors may receive tax-free interest income on their capital. PPF is a government-backed saving method for risk-averse people. Features of PPF  Tenure: A Public Provident Fund account has a 15-year term. The lock-in period is, therefore, 15 years as well. Eligibility: PPF investments are open to all Indian nationals. Additionally, a PPF account can be opened in a minor's name, and the parent or legal guardian can manage it. Risk: The PPF program is supported by the Indian government. As a result, it is one of the most secure investment strategies available to private investors. What are ELSS funds? The only type of mutual fund that qualifies for tax deductions under the terms of Section 80C of the Income Tax Act of 1961 is an ELSS fund, also known as an equity-linked savings plan. You can save up to INR 46,800 in taxes each year and get a tax credit of up to INR 1.5 lakhs by investing in ELSS mutual funds. The majority of the portfolio of ELSS mutual funds is allocated to equities and equity-linked instruments, such as listed shares, making up 65% of the portfolio. They could also be somewhat exposed to fixed-income securities. The shortest lock-in period among all Section 80C investments is three years for these funds. Lowest Lock-in: In the tax-saving category, ELSS investments have a 3-year lock-in period, making them a relatively more liquid option. SIP Option: The Systematic Investment Plan allows you to start investing in ELSS with as little as INR 500 each month (SIP). When it's convenient, you can start and stop the SIP. High Returns: One of the best returns in the group of tax-saving products has been provided by ELSS. PPF vs ELSS Following is the difference between PPF vs ELSS:  CharacteristicsPPFELSSSafetyVery High (Govt Guaranteed)Low-Moderate (Invests in Equity)ReturnsModerate – Fixed by Govt every quarter.High – Equity compounds over the long term.Lock-in15 years3 yearsLiquidityLow High Tax on ReturnsExempt10% of capital gains over the long term. Gains up to 1 lakh are exempted.Tax on MaturityExemptAs indicated above, taxes only apply to gains. PPF vs LIC  Following is the difference between PPF vs LIC:  Basis of DifferencePPFLIC PolicyPurposeSavings and investmentInsurance and risk protectionReturns7.1% p.a., compounded annuallyDepending on the policy, usually 4%-6%Tenure15 yearsFlexible tenure, as chosen by the subscriberPremature closureNot allowedAllowed with penaltiesRegulatory authorityCentral GovernmentInsurance Regulatory and Development AuthorityDeposit amountThe minimum is INR 500 and the maximum is INR 1.5 lakhsFixed Premiums LiquidityPPF enables loans from the third year and permits partial withdrawals from the seventh year.A 3-year lock-in term applies to insurance plans before they may be redeemed.TaxationPPP belongs to the EEE group. As a result, the corpus of the investment, interest, and redemption is entirely tax-free.If the premium is less than 10% of the amount assured, it is tax-free. Additionally tax-free is the death benefit. LIC vs PPF vs ELSS: Which is better? People frequently mix up investments with insurance. Investments are for a secure future, whereas insurance options like LIC are for risk protection. Having sound financial standing is important for any investor. A person needs an emergency fund for unforeseen costs, insurance to protect against unfortunate events, and investments to ensure a secure financial future. While both PPF and ELSS programs save taxes, it's still important to choose one based on your investment time horizon, risk tolerance, and expected returns. PPF is best for those who can afford a 15-year lock-in period and are utterly risk-averse. While ELSS is a good option for investors who are willing to take a moderate risk in exchange for higher returns. The best way to keep ELSS risk to a minimum is to keep your investments for the long run. Each person has a unique style of thinking and attitude while creating investment strategies. Some people desire higher earnings, while others seek financial security. Examining your financial condition is essential before making any form of investment, including those in PPF, LIC, or ELSS plans. Consult an expert advisor to get the right plan TALK TO AN EXPERT

With the dual advantage of tax-saving & potential for better returns than traditional tax-saving investment products, tax-saving mutual funds are a must-have for every investor. In this blog, we will discuss the best mutual funds to save taxes  What are tax-saving mutual funds? Mutual funds with a tax-saving component are identical to other mutual funds in every way. Because investments made in tax-saving mutual funds are eligible for tax benefits under section 80C of the Indian Income Tax Act, this form of mutual fund has a unique characteristic. Most tax-saving mutual funds participate in the growth-oriented stock market and are ELSS programs. The benefits of tax-saving mutual funds that save taxes provide investors with a variety of advantages. The following are a few of the crucial ones: Tax advantages of up to Rs. 1.5 lakh may be available for investments made in these kinds of funds. Under these plans, long-term capital gains are not taxed. Investments in these plans can be made as a way to set aside money for future expenses like car or home down payments. Through these programs, investors can make monthly investments through SIPs, eliminating the need for lump-sum investments. In order to reduce the danger of significant losses, the assets in the portfolios are not all invested in one location. If you decide against withdrawing your investment, it will keep growing and turn into a respectable sum of savings for an emergency. You may not be able to withdraw the original amount, but even during the lock-in period, you can withdraw the dividends that were received. These mutual funds have a lock-in term of just three years, as opposed to the six to fifteen years offered by other investing alternatives. Investments may be made at any time of the year because these schemes are open-ended in nature. Professional fund managers with extensive market understanding professionally oversee the funds. As a result, individuals who are unfamiliar with the market can also participate in these funds. Best mutual funds to save taxes 2022 The following are the best mutual funds to save taxes in 2022: Funds1-Year Returns (%)3-Year Returns5-Year ReturnsIDFC Tax Advantage (ELSS) Fund-Growth23.111.722.3Tata India Tax Savings Fund Growth14.612.3L&T Tax Advantage Fund Growth16.21320.3Aditya Birla Sun Life Tax Relief 96 Fund Growth19.312.123.5Aditya Birla Sun Life Tax Plan-Growth18.911.622.6DSP BlackRock Tax Saver Fund Growth911.421Axis Long-Term Equity Fund Growth18.19.324Kotak Tax Saver Fund Growth-4.7910.2517.66Invesco India Tax Plan Fund Growth0.611.119.0HDFC TaxSaver Fund-11.18.515.0 Who should invest in the best ELSS mutual funds? Any person or HUF that wants to reduce their annual tax liability by up to Rs 46,800 should think about investing in ELSS. The only people who should invest in ELSS are those who are ready to take some risk and can commit to holding their investment for at least the three-year lock-in period. To benefit from the greatest returns given by mutual funds, investors are urged to hold their investments for at least five years. It is appropriate to provide five years. You'll give your assets the necessary time to experience market cycles and generate great profits over the long term. Young investors who are just beginning their careers in finance can invest for the long term. Young investors are the greatest candidates for ELSS since they have the time to maximize the power of compounding, enjoy excellent returns, and save up to Rs 46,800 in annual taxes. FAQ Do tax-saving mutual funds outperform other tax-saving options like PPF and others in terms of returns? As of March 1, 2022, the category returns for ELSS are, respectively, 18.96%, 18.76%, and 14.38% for the 1-year, 3-year, and 5-year time periods. While Sukanya Samriddhi Yojana's current yield is 7.6%, the current return on PPFs, a popular fixed-income tax-saving device, is 7.1%. Financial analysts estimate that a ULIP plan produces an average return of 10–12% over a ten-year investment term. What are the hazards connected to different tax-saving tools? Since they are linked to investments in equity-related products, ELSS & ULIP investments are often high-risk. However, there are still some risks associated with fixed-income instruments. The government frequently assesses the interest rate on these programs (usually every quarter), and it is impossible to ignore the effects of interest-rate variations on them. Does ELSS have a minimum investment requirement? Undoubtedly, ELSS has a minimum investment requirement. Although the mutual fund provider determines the minimum investment amount, it is often approximately Rs. 5,000. Consult an expert advisor to get the right plan TALK TO AN EXPERT