Mirae asset tax saver funds are a popular long-term saving scheme under Equity Linked Saving Scheme (ELSS). Under ELSS investment, investors have different schemes to put their money in. The mirae asset tax saver fund is also one of them. It is known for the tax-saving benefits that the scheme offers. As a long-term investment option, it is very popular among investors nowadays. Looking at the advantages of ELSS funds, people are investing more in this type of investment. Among the best-performing ELSS funds, the Mirae asset tax saver funds have a good ranking. The reasons you should invest in it are as follows-
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Tax-saving investment
Mirae asset tax savings funds are an ELSS investment scheme. As with every ELSS scheme, it also offers tax benefits to investors. According to section 80C of the Income Tax Act, long-term saving option helps investors in deducting their tax liability. The minimum investment period for Mirae asset tax saver funds is three years. Hence, this investment deducts the payable tax for investors. Hence, to reduce tax liability, investors prefer investing in these funds.
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Appreciable market performance
Over the years, Mirae asset tax saver funds have shown good trends in the equity market. It is considered one of the best-performing schemes under the Equity Linked Saving Scheme. As per the recent rankings, it offers 26.2% trailing returns on three years investments and 17.7% trailing returns on five-year investments. These returns encourage the investors towards this scheme even after high risk.
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Wealth making investment
Mirae asset tax saver funds have high return potential. As compared to other long-term saving schemes, Mirae asset tax saver funds offer higher returns. PPFs, NPS, FDs, etc., do not offer an interest rate of more than 15%. However, in the long term, Mirae asset tax saver funds can offer very high returns. As a result, investors can make good wealth out of this ELSS scheme. Plus, this scheme has a short lock-in period which means you can get the returns early in your hands.
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Ideal expense ratio
Mirae asset tax saver funds have an ideal expense ratio. From the point of view of investors, an expense ratio under 0.75% is considered very good. This scheme has an expense ratio of only 0.55% which makes it an ideal choice for investors.
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Benefit of compounding
Higher returns prove beneficial in long-term investment. In such investments, you get the advantage of compounding. As Mirae asset tax saver funds are also a long-term saving scheme that too with higher returns, investors can get higher compounding benefits from this scheme in comparison to many other long-term schemes.
The performance of Mirae asset tax saver funds encourage people to invest in this scheme. It saves tax, increases wealth, and gains over investment. Launched by mirae asset mutual funds, this scheme is one of the most convenient ELSS schemes. You can invest in this scheme from the mutual fund section of 5paisa, which is an online investment platform. Apart from Mirae asset tax saver funds, you can also invest in various other categories of mutual funds from 5paisa.