All You Need to Know About ELSS Mutual Funds

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Are you looking for the best way to save taxes while growing your wealth? ELSS (Equity Linked Savings Scheme) mutual funds might be the perfect solution for you! Let's dive into the details:
What Are ELSS Mutual Funds?
ELSS mutual funds that primarily invests in equity and equity-related instruments. These funds come with a lock-in period of 3 years and provide tax benefits under Section 80C of the Income Tax Act, making them an ideal choice for tax-saving and wealth creation.

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Best ELSS Funds to Invest in 2025
Here’s a list of some of the top-performing ELSS funds that you can consider:

1. Mirae Asset Tax Saver Fund
   • Consistent performance and a balanced portfolio.
     
2. Axis Long Term Equity Fund
   • Known for its stability and solid returns over the long term.
     
3. Canara Robeco Equity Tax Saver Fund
   • A favorite for its low volatility and strong performance.
     
4. Kotak Tax Saver Fund
   • Suitable for those seeking moderate risk with long-term returns.
     
5. DSP Tax Saver Fund
   • A strong player with a diversified equity portfolio.
     

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Why Choose ELSS for Tax Saving?

1. Shortest Lock-in Period: Among all tax-saving investments, ELSS has the shortest lock-in of just 3 years.
   
2. High Return Potential: Since these funds invest in equities, they have the potential to deliver better returns compared to traditional tax-saving instruments.
   
3. Tax Benefits: You can claim up to ₹1.5 lakh under Section 80C.