Best Tax saver Mutual Funds to invest in

POSTED BY Suhani Aloney ON December 10, 2011 12:38 pm COMMENTS (2)

Hi,
I plan to invest around 70 to 80K in mutual funds this month for Tax saving funds. I want to know which are the best Tax saver mutual funds to invest in now ? Secondly, should I invest in a single fund or spread the money in multiple Tax saver mutual funds ? I think the locking period is around 3 years .. so how long do I need to stay invested in the recommended mutual funds to get best returns..
Also once I invest this money for this financial year.. Can I start SIP in the same funds next year from April 2012 ?
Please advise .. TIA ..

2 replies on this article “Best Tax saver Mutual Funds to invest in”

  1. Dear Suhani, From your query it seems that you are forced to invest 70-80K in one lump sum before the end of Dec. 2011 as you forget to plan your tax saving investment & now your account. department or employer is asking you to submit the proof of investment.

    My take invest 30K each in either of the 2 funds opted out by dear Lokesh for you. At the same time, start a sip of 2500 Rs. per month in both these funds. in next 3-4 months time you ‘ll be able to invest the desired 70-80K amount & as the SIP are running you need not to worry for next FY.

    Thanks

    Ashal

  2. Lokesh Jain says:

    Hi Suhani,

    For Tax Saving the below mentioned 3 funds are the best of the lot –

    1. Canara Robeco Equity Tax Saver
    2. HDFC Tax Saver
    3. Fidetlity Tax Advantage

    I would invest in same order equally into any of the 2 fund, as the amount you are investing is lumpsum. You can definitely start SIP from next yr onwards i.e. April 2012.

    In any case I would suggest you start SIP for the 70-80k which you want to invest for the next 4 months. So you would get benefit of the markets if they fall.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Download Our FREE Ebook!

Available only for first 100 people today

Download Our FREE Ebook!

Available only for first 100 people today