Top Performing ELSS Funds in 1 Year

The table below shows the Top Performing ELSS Funds in 1 Year based on AUM, NAV, and Minimum SIP.

Introduction to Top Performing ELSS Funds in 1 Year

SBI Long Term Equity Fund

SBI Long Term Equity Fund is an Equity Linked Savings Scheme (ELSS) with an AUM of ₹27,527.24 Crores, a 5-year CAGR of 28.75%, and an expense ratio of 0.95%, with no exit load.

SBI Long Term Equity Fund Direct Plan Growth is an Equity Mutual Fund Scheme launched by SBI Mutual Fund. This scheme was made available to investors on 29 Jun 1987. The fund allocates 90.2% to equity and 9.8% to cash, with no debt investments, offering a primarily equity-driven portfolio with a significant cash reserve.

DSP ELSS Tax Saver Fund

DSP ELSS Tax Saver Fund is an Equity Linked Savings Scheme (ELSS) with an AUM of ₹17,267.83 Crores, a 5-year CAGR of 25.98%, and an expense ratio of 0.69%, with no exit load.

DSP ELSS Tax Saver Direct Plan-Growth is an Equity Mutual Fund Scheme launched by DSP Mutual Fund. This scheme was made available to investors on 16 Dec 1996. With 98.4% in equity and 1.6% in cash, this fund emphasizes a heavy equity focus, maintaining minimal cash and no debt allocation.

HDFC ELSS Tax Saver Fund

HDFC ELSS Tax Saver Fund is an Equity Linked Savings Scheme (ELSS) with an AUM of ₹16,145.24 Crores, a 5-year CAGR of 24.46%, and an expense ratio of 1.09%, with no exit load.

HDFC ELSS Tax Saver Direct Plan-Growth is an Equity Mutual Fund Scheme launched by HDFC Mutual Fund. This scheme was made available to investors on 10 Dec 1999. The fund’s allocation includes 91.9% in equity, 0.3% in debt, and 7.8% in cash, providing a balanced approach with a slight debt exposure and liquidity buffer.

Quant ELSS Tax Saver Fund

Quant ELSS Tax Saver Fund is an Equity Linked Savings Scheme (ELSS) with an AUM of ₹10,527.57 Crores, a 5-year CAGR of 39.43%, and an expense ratio of 0.71%, with no exit load.

Quant ELSS Tax Saver Fund Direct-Growth is an Equity Mutual Fund Scheme launched by Quant Mutual Fund. This scheme was made available to investors on 15 Apr 1996. The fund has 88.1% invested in equity and 11.9% in cash, with no debt holdings, offering a lower equity concentration and higher liquidity reserves.

Franklin India ELSS Tax Saver Fund

Franklin India ELSS Tax Saver Fund is an Equity Linked Savings Scheme (ELSS) with an AUM of ₹6,815.90 Crores, a 5-year CAGR of 24.26%, and an expense ratio of 0.99%, with no exit load.

Franklin India ELSS Tax Saver Fund Direct Growth is an Equity Mutual Fund Scheme launched by Franklin Templeton Mutual Fund. This scheme was made available to investors on 19 Feb 1996. The fund allocates 97.6% to equity and 2.4% to cash, with no debt, focusing on equity investments with a small liquidity reserve.

HSBC ELSS Tax Saver Fund

HSBC ELSS Tax Saver Fund is an Equity Linked Savings Scheme (ELSS) with an AUM of ₹4,256.95 Crores, a 5-year CAGR of 22.84%, and an expense ratio of 1.10%, with no exit load.

HSBC ELSS Tax Saver Fund Direct Growth is an Equity Mutual Fund Scheme launched by HSBC Mutual Fund. This scheme was made available to investors on 27 May 2002. The fund has 98.5% allocated to equity and 1.5% to cash, with no debt holdings, focusing on high equity exposure and minimal liquidity reserves.

Motilal Oswal ELSS Tax Saver Fund

Motilal Oswal ELSS Tax Saver Fund is an Equity Linked Savings Scheme (ELSS) with an AUM of ₹3,835.43 Crores, a 5-year CAGR of 27.91%, and an expense ratio of 0.65%, with no exit load.

Motilal Oswal ELSS Tax Saver Fund Direct Growth is an Equity Mutual Fund Scheme launched by Motilal Oswal Mutual Fund. This scheme was made available to investors on 29 Dec 2009.

The fund’s allocation includes 95.9% in equity and 4.2% in debt, with no cash allocation, offering a balanced approach between equity and debt.

Invesco India ELSS Tax Saver Fund

Invesco India ELSS Tax Saver Fund is an Equity Linked Savings Scheme (ELSS) with an AUM of ₹2,847.49 Crores, a 5-year CAGR of 23.25%, and an expense ratio of 0.75%, with no exit load.

Invesco India ELSS Tax Saver Fund Direct Growth is an Equity Mutual Fund Scheme launched by Invesco Mutual Fund. This scheme was made available to investors on 24 Jul 2006. The fund’s asset allocation comprises 96.3% in equity and 3.7% in cash, with no debt, emphasizing equity investments while maintaining moderate liquidity.

Bank of India ELSS Tax Saver

Bank of India ELSS Tax Saver Fund is an Equity Linked Savings Scheme (ELSS) with an AUM of ₹1,484.56 Crores, a 5-year CAGR of 30.90%, and an expense ratio of 0.96%, with no exit load.

Bank of India ELSS Tax Saver Direct Growth is an Equity Mutual Fund Scheme launched by Bank of India Mutual Fund. This scheme was made available to investors on 31 Mar 2008.

The fund allocates 96.6% to equity and 3.4% to cash, with no debt investments, providing a high equity focus with a small liquidity reserve.

Baroda BNP Paribas ELSS Tax Saver Fund

Baroda BNP Paribas ELSS Tax Saver Fund is an Equity Linked Savings Scheme (ELSS) with an AUM of ₹950.69 Crores, a 5-year CAGR of 22.12%, and an expense ratio of 1.02%, with no exit load.

Baroda BNP Paribas ELSS Tax Saver Direct Growth is an Equity Mutual Fund Scheme launched by Baroda BNP Paribas Mutual Fund. This scheme was made available to investors on 15 Apr 2004. The fund has allocated 97% to equity and 3% to debt, with no cash holdings, offering a balanced equity and debt approach without liquidity reserves.

What Are ELSS Funds?

Equity Linked Savings Schemes (ELSS) are equity mutual funds that provide tax benefits under Section 80C of the Income Tax Act. These funds have a mandatory lock-in period of 3 years, offering investors the dual benefit of potential returns and tax savings.

Features Of Top Performing ELSS Funds in 1 Year

The main features of top-performing ELSS funds in 1 year include strong equity exposure, tax-saving benefits, professional fund management, and a 3-year lock-in period. These funds focus on maximizing returns while offering tax incentives.

• Strong Equity Exposure: ELSS funds invest primarily in equities, which can offer high returns over the long term. This equity focus provides opportunities for wealth creation.

• Tax-Saving Benefits: Investments in ELSS qualify for tax deductions under Section 80C, up to ₹1.5 lakh per financial year, reducing taxable income.

• Professional Management: ELSS funds are managed by experienced fund managers who select stocks based on market trends and company performance, optimizing the fund’s returns.

• 3-Year Lock-in Period: ELSS funds have a mandatory 3-year lock-in, making them relatively less liquid but encouraging long-term investment discipline for better returns.

Best Performing ELSS Funds in 1 Year

The table below shows the Best Performing ELSS Funds in 1 Year based on the Expense Ratio and Minimum SIP.

Top Performing ELSS Funds in 1 Year In India

The table below shows the Top Performing ELSS Funds in 1 Year In India based on CAGR 3Y and Minimum SIP.

Top Performing ELSS Funds in 1 Year List 

The table below shows the Top Performing ELSS Funds in 1 Year List based on Exit Load and AMC.

Factors To Consider When Investing In Top Performing ELSS Funds in 1 Year

The main factors to consider when investing in top-performing ELSS funds in 1 year include market performance, fund manager expertise, expense ratio, and long-term growth potential. These factors influence the fund’s ability to deliver returns and tax benefits.

• Market Performance: ELSS funds are equity-based, so their performance is closely tied to stock market conditions. Assessing market trends can help you gauge potential returns.

• Fund Manager Expertise: The experience of the fund manager is crucial, as their ability to navigate market fluctuations and pick high-performing stocks directly impacts returns.

• Expense Ratio: A lower expense ratio can maximize returns, but it’s important to balance it with the fund’s historical performance and management quality.

• Long-term Growth Potential: ELSS funds are better suited for long-term investment horizons due to their 3-year lock-in period. Choose funds with a solid growth track record over time.

How To Invest In Top Performing ELSS Funds in 1 Year?

To invest in top-performing ELSS funds in 1 year, research and compare funds based on performance, expense ratio, and risk profile. Once you select a fund, invest through platforms like Alice Blue via lump sum or Systematic Investment Plans (SIPs) for tax savings and returns.

Advantages Of Investing In Top Performing ELSS Funds in 1 Year?

The main advantages of investing in top-performing ELSS funds in 1 year include tax savings, wealth creation, professional management, and flexibility of investments. These benefits make ELSS funds an ideal choice for tax-efficient long-term growth.

• Tax Savings: ELSS funds offer tax deductions up to ₹1.5 lakh under Section 80C, helping you reduce your taxable income and build wealth simultaneously.

• Wealth Creation: With strong equity exposure, ELSS funds provide the potential for long-term capital appreciation, making them effective for wealth creation.

• Professional Management: ELSS funds are managed by experienced professionals who carefully select stocks, offering expertise in maximizing returns.

• Flexible Investment Options: ELSS allows you to invest through SIPs or lump sum, giving you the flexibility to tailor your investment strategy based on your financial goals.

Risks Of Investing In Top Performing ELSS Funds in 1 Year?

The main risks of investing in top-performing ELSS funds in 1 year include market volatility, liquidity constraints, fund performance inconsistency, and sectoral concentration. These factors can affect returns, especially in short-term market fluctuations.

• Market Volatility: ELSS funds are heavily invested in equities, making them susceptible to stock market fluctuations, leading to potential short-term losses.

• Liquidity Constraints: ELSS funds come with a mandatory 3-year lock-in period, limiting your ability to withdraw funds in case of emergencies or market downturns.

• Fund Performance Inconsistency: ELSS funds’ performance may vary depending on market conditions and the fund manager’s ability to make the right stock picks.

• Sectoral Concentration: Some ELSS funds may have high exposure to specific sectors, increasing the risk if those sectors underperform.

Importance of ELSS Funds

The main importance of ELSS funds lies in their ability to combine tax-saving benefits with equity-linked returns, making them a preferred choice for long-term investors seeking wealth creation and tax efficiency. ELSS funds help in building financial discipline.

• Tax Efficiency: ELSS funds offer tax savings under Section 80C, reducing taxable income and encouraging systematic investments in equity markets.

• Wealth Creation: With their strong focus on equity, ELSS funds help generate substantial long-term wealth, especially for investors looking to grow their portfolios.

• Investment Discipline: The 3-year lock-in period ensures long-term investment discipline, minimizing short-term trading and fostering long-term wealth-building strategies.

• Balanced Approach: ELSS funds strike a balance between tax efficiency and equity exposure, making them an attractive choice for both new and experienced investors.

How Long to Stay Invested in ELSS Funds?

While ELSS funds have a mandatory 3-year lock-in period, it is advisable to stay invested for 5 to 7 years or longer to fully benefit from the power of compounding and equity growth. Staying invested through market cycles can yield substantial returns.

Beyond the lock-in, evaluate your financial goals and market conditions regularly. Exiting early may hinder your ability to realize the long-term wealth creation that equity markets offer, so longer-term investment horizons are generally recommended.

Tax Implications of Investing in ELSS Funds

ELSS funds offer tax deductions of up to ₹1.5 lakh under Section 80C, reducing your taxable income. Gains from ELSS are treated as equity investments, with short-term capital gains (less than 1 year) taxed at 15% and long-term capital gains above ₹1 lakh taxed at 10%.

For investors who hold ELSS funds for over 3 years, the long-term capital gains tax is favorable, especially considering the potential for higher returns from equity. This makes ELSS tax-efficient for wealth creation.

Future of ELSS Funds

The future of ELSS funds looks promising as more investors seek tax-efficient investment options with strong growth potential. As financial literacy and awareness increase, ELSS funds are expected to remain a preferred choice for long-term investors looking for both returns and tax benefits.

ELSS funds will continue to evolve as markets change, but their combination of tax benefits and equity exposure ensures their relevance in Indian investors’ portfolios. The sector’s growth will depend on market performance and evolving tax policies.

Top Performing ELSS Funds in 1 Year – FAQs  

Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time The securities quoted are exemplary and are not recommendatory.