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DSP Tax Saver Fund is an Equity Linked Savings Scheme (ELSS) designed for investors seeking tax benefits and long-term wealth appreciation. It allows deduction under Section 80C of the Income Tax Act (up to ₹1.5 lakh) and has a mandatory lock-in period of 3 years. The fund invests exclusively in equities, aiming to earn high returns, but there are market risks associated with it.

What is the DSP Tax Saver Fund?

DSP Tax Saver Fund is an open-ended equity-linked savings scheme (ELSS) offered by DSP Mutual Fund in India. It provides tax benefits under Section 80C of the Income Tax Act, 1961, which allows investors to claim a deduction of up to ₹1.5 lakh from their taxable income by investing in such schemes.

What are the Key Features of the DSP Tax Saver Fund?

DSP Tax Saver Fund offers tax benefits and equity investment opportunities. The special features of this fund are its nature.

1. Tax Benefits under Section 80C:

• Eligibility for tax deduction: Investing in the fund is eligible for a deduction of up to ₹1.5 lakh from taxable income under section 80C of the Income Tax Act, 1961.

• Tax Savings: You can reduce your overall tax liability by investing in this fund, making it a prime choice for individuals seeking a tax-saving option.

2. Mandatory 3-Year Lock-In Period

• Lowest lock-in period among tax-saving investments: DSP Tax Saver Fund has a very low lock-in period of 3 years, the lowest compared to other Section 80C investment options like PPF or SBI.

• No premature withdrawal: During the lock-in period, you cannot redeem or withdraw the units.

3. Equity-Oriented Scheme:

• Equity Focus: This is an equity-linked savings fund (ELSS), which invests primarily in equity and equity-related assets.

• Long-term capital appreciation: With a strong focus on equities, this fund aims to provide long-term capital appreciation.

4. Diversified Portfolio:

• Sector and Stock Diversification: The fund invests across multiple arenas and lines of business, spreading the risk and helping mitigate sector-specific risk.

• Multi-cap exposure: It can invest in companies of varying market capitalisations (large-cap, mid-cap and small-cap), providing a multiple approach to equity investing.

5. Risk-Return Profile:

• Higher Risk, Higher Returns Possible: As an equity-focused fund, it has exposure to developed market risks but in symmetry with traditional tax-saving choices like fixed deposits or bonds, it also has the potential for developed long-term returns.

• Vulnerability: Since it invests in equity trading, the NAV (net asset value) of the fund is subject to fluctuation in the short term due to business movements.

6. No Maximum Investment Limit:

• Unrestricted investment: Though the tax deduction limit under Section 80C is Rs 1.5 lakh, there is no upper limit on the amount that can be invested in the fund.

7. Growth and Dividend Options:

• Growth preference: Under this option, all the profits are reinvested in the fund, and you can benefit from capital appreciation.

• Dividend Option: The dividend option offers investors periodic redemptions whenever the fund declares a dividend, but the portions are taxable per the investor’s applicable tax slab.

8. SIP and Lump-Sum Investment:

• Step-by-Step Planning (SIP): Investors can start with SIP to invest small amounts every month, which helps accumulate wealth over time.

• Lump sum: You can also invest a lump sum in the fund in one go.

9. Fund Manager Expertise:

• The fund is managed by the experienced fund managers of DSP Mutual Fund, who leverage their expertise to manage the portfolio of stocks with interest.

10. Potential for Long-Term Wealth Creation:

• Due to its equity exposure and lock-in period of 3 years and compounding results thereafter, this fund has the potential to generate long-term wealth required by investors.

What is DSP Tax Saver Fund Growth?

DSP Tax Saver Fund Growth Choice is an edit of the DSP Tax Saver Fund where the returns generated from the fund are reinvested in the project rather than reinvested as additional profits. This allows investors to benefit from capital appreciation as the value of their investments increases over time.

1. Money appreciation: No dividend is given; profits are reinvested to maximize growth over time.

2. Long-term wealth creation: Best suited for investors with a long-term investment horizon.

3. 3-Year Lock-in Period: Sharp Intelligence is locked in for 3 years, ensuring self-control and strong market gains.

4. Tax savings: Eligible for tax deduction up to Rs 1.5 lakh under section 80C.

5. High returns potential: Since this is an equity-oriented fund, it has market exposure and the potential for high returns over time.

What is the DSP Tax Saver Fund Direct Growth?

DSP Tax Saver Fund Direct Growth DSP Tax Saver Fund is a fund variant that allows investors to invest directly with the mutual fund house, bypassing intermediaries like salespeople or brokers. This direct investment results in lower expenses and significantly higher returns than a normal investment.

1. Direct Plan: Investors buy units directly from the DSP Mutual Fund, thereby reducing split pay and reducing expenses accordingly.

2. Growth Option: Profits are reinvested in the fund, allowing for robust growth without membership fees.

3. Tax benefits: Sharp minded is eligible for a tax deduction of up to Rs 1.5 lakh under Section 80C of the Income Tax Act, 1961.

4. Less Expense Symmetry: Since there is no chairperson committee, the expense symmetry is lower than a normal project, increasing returns over time.

5. Equity-Focused: Another type of ELSS fund invests exclusively in equity and equity-related instruments to deliver improved long-term returns.

6. 3-year lock-in: The investment remains locked for 3 years, after which the units can be exchanged or continued to be held for further growth.

What is the DSP Tax Saver Fund Regular Plan Growth?

DSP Tax Saver Fund Regular Plan Growth is an equity-linked savings scheme (ELSS) placed through an intermediary such as a broker or a salesperson. It comes with slightly higher expense ratio than a direct plan as there is a commission pay for the intermediary. In a growth strategy, any returns generated are reinvested in the project rather than redeemed as additional profits, thereby expanding the corpus over time.

1. Regular Project: Purchased through a broker or distributor, which increases the expense ratio due to commission.

2. Growth option: Profits are reinvested and no dividend is given. The value of the input increases over time, allowing for the expansion of funds over the long term.

3. Tax benefits: The investment is eligible for deduction up to Rs 1.5 lakh under Section 80C of the Income Tax Act, 1961.

4. Equity-focused: Invests exclusively in equity and equity-linked securities, which offer the potential for higher returns but with market-linked risks.

5. 3-year lock-in period: The investment remains locked in for 3 years, ensuring long-term commitment and potential market growth.

6. Higher Expense Ratio: The expense ratio in a normal project is higher due to the presence of a committee for the chairman, which may result in slightly lower returns than a larger project.

What is the DSP Tax Saver Fund NAV?

The Net Asset Value (NAV) of the DSP Tax Saver Fund represents the trading price per unit of the fund’s assets. The NAV changes daily based on the trading price of the assets (stocks) that comprise the fund’s portfolio.

To check the latest NAV of DSP Tax Saver Fund including both Indirect Growth and Balanced Expansion options, you can visit the official DSP Mutual Fund website or other financial platforms.

• Moneycontrol

• Value Research Online

• AMFI (Association of Mutual Funds in India)

NAVs usually fluctuate with business movements, so it is advisable to look at the actual period data for the most accurate news. Do you want me to look up the latest NAV for you?

What is the DSP ELSS Tax Saver Fund?

DSP ELSS Tax Saver Fund is an Equity Linked Savings Scheme (ELSS) designed to provide tax benefits while enjoying long-term wealth growth through an equity investing instrument.

1. Tax Benefits: Investment in this fund is eligible for a tax deduction of up to ₹1.5 lakh per annum under Section 80C of the Income Tax Act.

2. Lock-in period: This fund has a lock-in period of three years, which is the lowest among tax-saving smart options.

3. Investment Strategy: The fund invests primarily in a diversified portfolio of equity and equity-related instruments with a focus on generating wealth growth over the long term.

4. Risk Profile: Being an equity fund, it carries a higher risk than traditional fixed-income tax-saving instruments.

5. Options Available: Investors can choose between growth and dividend preferences based on their financial means.

6. Management: The fund is managed by experienced professionals who make investment decisions based on the fundamentals of intensive payouts, and segregation.

DSP ELSS Tax Saver Fund Regular Plan Growth?

DSP ELSS Tax Saver Fund Regular Plan Growth is an unusual edit of DSP ELSS Tax Saver Fund. Here are some key clarifications.

1. Type: An equity mutual fund under the ELSS category, designed to provide tax benefits while investing primarily in equities.

2. Growth option: In the regular plan growth option, any returns generated are reinvested in the fund rather than distributed as dividends. This can help boost returns over time.

3. Tax Benefits: Like all ELSS funds, investments in this fund are eligible for a tax deduction of up to ₹1.5 lakh per financial year under section 80C of the Income Tax Act.

4. Lock-in Period: There is a forced lock-in period of three years, i.e. you cannot encash your investments during this period.

5. Investment Strategy: The fund aims to generate long-term capital appreciation by investing in a diversified portfolio of equities, often focused on growth-oriented companies.

6. Risk: Given its equity nature, this fund has material risk compared to debt funds or traditional tax-saving instruments.

DSP ELSS Tax Saver Fund Direct Plan Growth?

DSP ELSS Tax Saver Fund Direct Plan-Growth DSP ELSS is another variant of the Tax Saver Fund, which is uniquely designed for direct investment without an intermediary. Here are some important aspects.

1. Type: An equity mutual fund under the ELSS category, focusing on long-term capital appreciation through equity investments.

2. Direct Plan: This allows investors to invest directly with the fund house, bypassing the intermediary, often resulting in lower expense ratios than normal plans.

3. Growth Option: In the Direct Plan-Growth option, the returns are invested back into the fund instead of being redeemed as dividends, which helps in increasing the investment over the period.

4. Tax Benefits: Like other ELSS funds, investments in this project are eligible for tax deductions of up to ₹1.5 lakh per financial year under Section 80C of the Income Tax Act.

5. Lock-in Period: There is a mandatory lock-in period of three years during which investors cannot redeem their investments.

Is the DSP ELSS Tax Saver Fund Good?

DSP ELSS Tax Saver Fund can be a good investment choice for certain types of investors, but whether it is right for you depends on your financial objectives, risk appetite and investment horizon. Here is an overview of the merits of the concept.

What is the DSP Tax Saver Fund Dividend?

DSP Tax Saver Fund Dividend DSP ELSS is a type of tax saver fund that offers dividend dividends to investors from time to time. Here is a summary.

1. Dividend option: Instead of reinvesting returns like the growth option, this project distributes dividends to investors whenever the fund declares them.

2. Tax benefits: Like all ELSS funds, it is eligible for tax deduction under Section 80C (up to Rs 1.5 lakh per annum).

3. Lock-in Period: There is an enforced lock-in period of 3 years for investments, which is standard for all ELSS funds.

4. Investment Strategy: Investing primarily in equities, aiming at long-term capital appreciation and providing periodic dividend payouts.

What is the DSP Blackrock Tax Saver Fund?

DSP BlackRock Tax Saver Fund (now known as DSP Tax Saver Fund) is an Equity Linked Savings Scheme (ELSS) that offers tax benefits while aiming at long-term capital appreciation through equity investments.

1. Tax benefits: Eligible for deduction under section 80C (up to ₹1.5 lakh/year).

2. Lock-in period: 3 years (mandatory).

3. Investment Focus: Primarily invests in equity for long-term growth.

4. Options:

• Growth: Reinvest profits at compound interest.

• Dividends: Receive periodic payments, although not guaranteed.

5. Risk: High due to investment in equity, but the potential for high returns in the long term.

What is the DSP Tax Saver Category?

DSP Tax Saver Fund falls under the Equity Linked Savings Scheme (ELSS) category, a type of mutual fund that offers both tax benefits and long-term growth potential using equity investments.

1. Tax benefits: Inputs earn a deduction of up to Rs 1.5 lakh annually under Section 80C of the Income Tax Act.

2. Lock-in period: Forced 3-year lock-in extension, which is the shortest among tax-saving instruments.

3. Equity Exposure: Investments are made exclusively in equity and equity-related instruments, making it a high-risk but potentially high-return investment.

4. Diversification: It describes the opportunity to invest in other sectors and companies while publicising the crisis.

5. Growth & Dividend Options

• Growth Option: Reinvests earnings for compound interest.

• Dividend Option: Pays dividends, although not guaranteed.

What is the Lock in Period of DSP Tax Saver Fund?

DSP Tax Saver Fund has a lock-in period of 3 years.

This means you cannot redeem or withdraw your investments for three years from the date of purchase. The 3-year lock-in is the norm for all equity-linked savings schemes (ELSS) and is the shortest lock-in period among tax-saving instruments under Section 80C, such as PPF (15 years) or NSC (5 years).

After the lock-in period, you can redeem it or continue investing for further strong yield.

What is the DSP Mutual Fund Tax Save?

DSP Tax Saver Fund offered by DSP Mutual Fund is a tax-saving mutual fund under the ELSS (Equity Linked Savings Scheme) category. It helps investors save on taxes while aiming for long-term wealth growth by investing in equities.

1. Tax benefits: Inputs up to Rs 1.5 lakh per annum are eligible for deduction under Section 80C of the Income Tax Act.

2. Lock-in Period: Mandatory 3-year lock-in period, which is the shortest among Section 80C options.

3. Equity Investments: Invests primarily in equity and equity-related assets, which offer the potential for growth with higher risk.

4. Growth & Dividend Options

• Growth option: Reinvests income, generating compound interest.

• Dividend option: Offers periodic payouts (not guaranteed).

5. Risk & Returns: Being an equity based fund, this fund is exposed to market risks but can potentially give high returns in the long term.

Conclusion

DSP Tax Saver Fund is a solid investment option for individuals who want tax savings and long-term wealth growth. As an ELSS, it offers the coupled benefit of strong equity market returns and tax deductions under Section 80C. While it comes with a forced 3-year lock-in period and risks associated with equity investments, it can deliver high returns over time in symmetry with traditional tax-saving instruments. Ideal for long-term, growth-oriented investors with moderate to high-risk appetite, this fund is an enticing option to build wealth while availing tax benefits.

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