HDFC Taxsaver Fund turns Rs 10,000 SIP into Rs 9.39 crore in 26 years, details here

A provision of Section 80C under Income Tax Act allows  taxpayers to make an investment of up to Rs 1.5 lakh in specific investment tools and claim it as a tax deduction. ELSS (Equity Linked Savings Scheme) mutual funds help in saving income tax. Hence, they are also known as tax-saving funds. These are diversified equity funds that make investment in companies with a range of market capitalizations, including large-cap, mid-cap, and small-cap firms. ELSS funds also give huge returns at par with their peers and sometimes outdo them. One such ELSS fund, HDFC Taxsaver Fund, has completed its 26 years and made some people millionaires The launch of HDFC Taxsaver Fund Regular Plan - Growth Option took place in March 1996. As of 31 March, 2022, the fund gave SIP returns of 21.27 percent. It outperformed the NIFTY 500 TRI benchmark at 15.45 percent and the NIFTY 50 additional benchmark at 14.35 percent during that period. Over 26 years, a Rs 10,000 SIP translates into Rs 31.20 lakh. This 31.20 lakh would have given a corpus of Rs 9.39 crore by 31 March, 2022. The HDFC Taxsaver Fund has given a yearly return of 26.05 percent as of 31 March, 2022. An annualized return of 22.24 percent has been given by the fund since its inception, which is higher than the benchmark performance of 14.25 percent. The fund’s Assets Under Management (AUM) totalled Rs 9,788 crore as of 30 June, 2022. The fund’s Net Asset Value (NAV) was Rs 766.63 as of 26 September, 2022. At 1.79 percent, the expense ratio of the fund is higher than that of the majority of other ELSS funds. The fund’s returns have been 4.76 percent in the previous year. Since its debut, it has given an annual average return of 23.19 percent based on the NAV as of 26 September 2022. The fund holds a sector allocation strategy which ranges from financial, energy, automobile and technology to healthcare industries. The top five holdings of this fund are ICICI Bank Ltd., HDFC Bank Ltd., State Bank of India, Bharti Airtel Ltd., and Hindustan Aeronautics Ltd. Read all the Latest News , Trending News ,  Cricket News , Bollywood News , India News and Entertainment News here. Follow us on Facebook, Twitter and Instagram.