Mutual Fund SIP is considered one of the best ways of investment. With its help, you get the benefit of compounding in the long run, which can help in increasing your wealth. Today in this article we are going to tell about those ELSS mutual funds which have given an average annual return of more than 20 percent in the last 5 years. But before that let us know what ELSS mutual funds are.
What is ELSS Mutual Fund?
ELSS mutual funds are also called tax saving mutual funds. There is a lock-in period of 3 years. By investing in this, a tax exemption of Rs 1.5 lakh is available under Section 80C of Income Tax. In ELSS mutual funds, money is invested in equity, debt and gold etc.
ELSS Mutual Funds giving highest returns in last 5 years
Quant ELSS Tax Saver Fund: This mutual fund has given an average annual return of 29.98 percent in the last 5 years. If you had invested Rs 1 lakh in this fund 5 years ago, this amount would have increased to around Rs 3.70 lakh by now.
Bank of India ELSS Tax Saver Fund: This fund has given an average annual return of 24.26 percent in the last 5 years. If you had invested one year in this fund 5 years ago, this amount would have increased to around Rs 2.90 lakh.
SBI Long Term Equity Fund: This fund has given an average return of 20.57 percent in the last 5 years. By investing Rs 1 lakh in this fund, your return would have increased to Rs 2.55 lakh in 5 years.
Bandhan ELSS Tax Saver Fund: This mutual fund has given an average return of 19.39 percent to its investors in the last 5 years. If you had invested in this 5 years ago, your money would have increased to Rs 2.42 lakh.
(Note: These figures have been taken from AMFI and are based on data till March 20, 2024.)
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