Mutual Funds have become unparalleled choice of investment mode for long-term goals, yet there are many investors, who prefer to offload their surpluses in traditional vehicles such as bank fixed deposits to accomplish their short-term goals.
Long-term horizon provides mutual fund investors with comfort to bet on risks, but ‘market-linked’ performance scare most of them away from this investment route. However, this is not true always as there are an array of mutual funds that are designed to take care of short term goals. Broadly, liquid funds and debt funds qualify to be suitable for short-term investment needs.
ELSS or Equity Linked Savings Scheme of Mutual Funds are one of the best tax saving cum long-term wealth creation investment tools. The investments made in ELSS schemes are eligible for income tax deduction under Section 80C
The returns earned from mutual funds are taxed under the head ‘Income from Capital Gains.
Many mutual fund investors are a bit confused about the taxation of returns from investments. Investment experts are always busy answering questions like should I pay tax on my mutual funds or will my investment qualify for a tax deduction. Experts say the different treatment of MF returns for calculating the tax liability is the main reason for the confusion.
most people scramble to buy whatever tax-saving products they can buy at the last moment (in March). All they want is to get the maximum possible income tax benefits. Whether the product being purchased (or rather sold to them) is right for them or not is immaterial. Its like the government has promised to give discounts on certain medicines. So you go and buy the medicine, which gets you the biggest discount. You are not concerned about whether the medicine you are purchasing is suitable for you or not.
The objective of Quantum Mutual Fund is to help every investor invest in Indian equities with our solid research process and low cost approach. Quantum Long Term Equity Fund over the last 10 years have performed across market cycles and aim to generate sensible risk adjusted return over the long term.