HDFC Tax Saver Fund Review
If you are looking to save tax this financial year 2009-2010 but don’t want to put your money in longer term duration saving instruments like NSC, PPF, tax saving fixed deposits, etc., then ELSS mutual funds are your best bet, although risky it can get your higher returns in less possible time duration. There are very many tax saving mutual funds available in India like the Fidelity Tax Advantage Fund, SBI Magnum Tax Gain, DSP Blackrock Tax Saver Fund, as well as the Religare Tax Plan and also the HDFC TaxSaver Fund.
As the name suggests clearly, this fund is from the house of HDFC Mutual Fund. Just like any other ELSS funds in India, this fund too has the regular 3-year lock-in period. And you can save up to Rs. 1 Lakh under section 80 C. This fund is live online since December 18, 1995 and hence one of the oldest fund in this category. This is also the fund which has received 4 stars from Value Research and hence considered to be a good tax saver fund to invest in, according to them, although just like any other mutual funds, it is not a guarantee that it will perform in the same manner in the future and hence with the returns as well.
Investment Objective: For this, HDFC Tax Saver Fund is to achieve long term growth of your capital by investing in equity and equity related markets.
Asset Allocation: 80% in equities and 20% in debt.
Options: HDFC Tax Saver Fund Growth, HDFC Tax Saver Fund Dividend (Payout and reinvestment).
Lock-in Period: Three years, the same as any other ELSS Fund in India.
Entry and Exit Load: Nil even for the dividend reinvestment option.
Minimum Investment: Rs. 500 and in multiples of Rs. 500 thereafter.
The latest and current NAV of HDFC Tax Saver Growth is Rs. 204.214 as on March 19, 2010 and for the dividend option is Rs. 57.371.
It has a risk grade of below average and return grade of above average percentage, according to Value Research. Thus if you are able to take up some risks and able to absorb in such cases you can invest in this HDFC TaxSaver (either in growth or dividend option) in order to save tax as well as to get gain maximum returns (thus maximum risks) then this fund is an ideal choice for you, as HDFC MF always have a history of great performing funds in its kitty and this Tax Saver Fund is one among them.
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Comments
hello,
I want to invest 2000 per month in SIP..how abt HDFC tax saver??? is it the good decision to invest in it ???
Some of the best Tax saving Mutual Funds available for 2012 are:
1) HDFC TaxSaver
2) ICICI Prudential Tax Plan
3) DSP BlackRock Tax Saver Fund
4) Birla Sun Life Tax Relief ‘96
5) Reliance Tax Saver (ELSS) Fund
6) IDFC Tax Advantage (ELSS) Fund
7) SBI Magnum Tax Gain Scheme 1993
Sundaram Tax Saver
You can buy them online from their website itself.
Sir,
I’ve deposited Rs.20,000-00 in HDFC Tax Saver on January,2010.No dividend for this year 2011 has been received till date.my folio no. is xxxxxx.I have also not received any statement .I’m also eager to purchase Tax Saver in this year 2011. kindly inform me at your earliest.
thanks,