While we all work hard to make a living, engaging in sensible tax planning is equally important.
For tax-saving purposes, there are a variety of investment avenues. Among them are tax-saving mutual funds or equity-linked savings schemes (ELSS).
Tax saving mutual funds or ELSS are categorised as open-ended equity schemes that invest a minimum of 80% of their total assets in equity and equity-related instruments as per the equity-linked savings scheme, 2005.
The investment objective of a tax saving mutual fund is, broadly, to achieve long-term capital appreciation or growth.
And in this endeavour, these funds or ELSS invest across market largecaps, midcaps, and smallcaps, as well as across sectors.
A fund may pursue a value style or growth style of investing or even a mix of bot