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L&T Tax Advantage Fund Direct-Growth L&T Tax Advantage Fund Direct-Growth L&T Tax Advantage Fund Direct-Growth L&T Tax Advantage Fund Direct-Growth - Get latest updates on NAV, Dividends, Returns, Performance, Risks & Portfolio. Invest now! Paisabazaar INR 1000 1 rating rating rating rating rating L&T Tax Advantage Fund Direct-Growth 3 5

PB Recommended Equity ELSS

PLAN: GROWTH TYPE : OPEN-ENDED OPTION: Growth

1 Yr return

11.21%

3 Yrs CAGR returns

7.87%

5 Yrs CAGR returns

8.8%

NAV as on 27 Dec

₹ 57.49 by 0.41 ( -1.00%)

Expense ratio

1.44

Lock-in period

19.29%

Fund Size (Cr)

₹ 3420.69


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Performance Graph*
Returns Calculator
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If ₹1000 invested for 1

Estimated returns*

₹ 0

with % annual returns

Direct Funds
Estimated amount
₹ 10,27,000
Regular Funds
Estimated amount
₹ 9,91,000

* The calculator, based on assumed rate of returns, is meant for illustration purposes only.More

The calculations are not based on any judgments of the future return and should not be construed as promise on minimum returns. Information gathered and material used in this calculator is believed to be from reliable sources. Paisabazaar however does not warrant the accuracy, reasonableness and/or completeness of any such information. While utmost care has been exercised while preparing the calculator, Paisabazaar does not warrant the completeness or guarantee that the achieved computations are flawless and/or accurate and disclaims all liabilities, losses and damages arising out of the use or in respect of anything done in reliance of the calculator.

investment objective

The scheme aims to generate long-term capital growth from a diversified portfolio of predominantly equity and equity-related securities.

Tax Implications

Returns are taxed at 15%, if you redeem before one year. After 1 year, you are required to pay LTCG tax of 10% on returns of Rs 1 lakh+ in a financial year.

riskometer
Top Holdings
Top 10 Sectors %
Financial 29.46
Construction 11.78
Technology 11.14
Health Care 10.31
FMCG 4.16
Retailing 4.1
Chemicals 3.92
Energy 3.54
Communication 3.5
Engineering 2.59
Top 10 Sectors %
Banking 6.68
Banking 5.29
Banking 4.14
Computer Software 3.88
Crude Oil & Natural Gas 3.54
Telecom.Services 3.5
Infrastructure 3.43
Computer Software 3.12
Computer Software 3.05
Housing Finance 2.83
Fund house details
Fund House L&T Mutual Fund
Fund Manager Vihang Naik
Fund Setup Date 01 Jan 2013
Address Brindavan Plot No. 177, CST Road Kalina, Santacruz (East)
Contact 022-66554000, 1800 2000 400
Email ID investor.line@lntmf.co.in
More About This Fund

About L&T Tax Advantage Fund

With the investment objective of generating long-term capital growth from a diversified portfolio of predominantly equity and equity related securities, L&T Tax Advantage Fund is an open-ended equity linked savings scheme (ELSS) with a statutory lock-in period of 3 years. It is a popular fund amongst retail investors owing to the returns generated.

The fund offers its investors a diversified portfolio of strongly growing companies with a minimum investment of only Rs. 500 via SIP. The fund has invested around 98.51% in Indian stocks, out of which 54.14% is invested in large cap, 25.33% in mid cap stocks and the remaining 10.89% in small cap stocks.

Who Should Invest?

  • Since this is an ELSS, you will be eligible to declare investments in it under Section 80 C of the Income Tax Act amounting to Rs 1.5 lakh in a financial year. As an investor you are tapping into equity as well as saving tax
  • Investing via the SIP mode into the fund could shelter you from market risks and provide you with the dual advantage of power of compounding and rupee cost averaging
  • Since this is an equity-focused fund, it is particularly suitable for you if you seek long term capital growth. The ideal investment horizon should be 3 years
  • Being an Equity Linked Savings Scheme, L&T Tax Advantage Fund has a lock-in period of 3 years, which is considered the lowest among all the tax saving alternatives in the country
  • You should be able to tolerate some amount of risk when investing in the fund
  • Nonetheless, if your maximum tax saving investments are exceeding Rs 1.5 lakh, you could at other equity schemes or hybrid schemes for similar returns
  • It is also suggested that you take a look at the CRISIL rating of the fund while making your investment decision, in order to get an idea about the overall performance of the fund over the years, based on its historical return data and portfolio attributes

Will you Pay Tax?

Although investment in the scheme is tax deductible, the returns generated invite taxes. The Union Budget of 2018-19 introduced a Long Term Capital Gains tax of 10% on returns exceeding Rs 1 lakh.

For an example –

Let’s say, an individual has ₹2 lakh disposable taxable income in a given financial year, and s/he decides to invest the amount in ELSS. ₹1.5 lakh out of this amount would be exempted from any taxation.₹50,000 would be taxed as per the income tax slab of the investor.

It should be noted that the investment in ELSS remains locked-in for 3 years.

The returns from ELSS are taxed like that from any other equity mutual fund scheme. However, since the units can’t be redeemed before 3 years of investment, only Long Term Capital Gains Tax of 10% above ₹1 lakh will be levied.

Suppose an investor has made a capital gain of ₹1.5 lakh on investment in this scheme, and withdraws the amount after 1 year of investment, Long Term Capital Gains Tax of 10% would be levied on ₹50000. ₹1Lakh is exempted from taxation. The payable tax would be ₹5000.

How to Invest in L&T Tax Advantage Fund?

  • Sign Up/Sign in to Paisabazaar.com and go to ‘Direct Mutual Funds’
  • Click on the section of ‘ELSS Funds
  • Type and search directly by the name of L&T Tax Advantage Fund Direct Growth. Once it opens up, look at the details. You can also compare similar funds as well as use SIP Calculator to estimate the future value of your investment
  • Click on ‘Invest Now’, select either Lump sum or SIP

Why Paisabazaar?

  • Trusted website, no commission charges and no paperwork. Only direct plans, no regular ones
  • You can compare more than 1,700 Funds at one platform instead of visiting the website of each AMC and then searching for numerous funds
  • Easy to browse as Funds are segregated under Equity, Debt, Large Cap, ELSS, etc. You can further add filters of ratings, returns, fund houses
  • Important scheme details such as latest Net Asset Value (NAV), expense ratio, Assets Under Management (AUM), etc. are also available on the portal, making it easier for consumers to pick a suitable fund

FAQs

Q. Should you invest in L&T Tax Advantage Fund?
A. Delivering remarkable returns since its inception, the fund is recommended for investors looking forward to gain from additional tax benefits. The fund is an Equity Linked Savings Scheme and offers reasonable returns for investors with a lower risk appetite.

Q. Is this a multi cap fund and what does that mean?
A. Mutual funds that invest in stocks of companies with different market capitalizations is called a multi cap fund. However, the scheme has major investments in large cap funds and subsequent in mid and small cap companies. The fund invests 54.14% in large cap stocks, 25.33%in mid cap stocks, 10.89% in small cap stocks.

Q. What is Exit Load? Does this particular scheme have an Exit Load?
A. Exit Load is the fee charged from an investor when he decides to quit the scheme and redeem his money. Generally, there is some penalty charged only if funds are redeemed in less than 365 days, otherwise there are usually no charges. But since the fund has a an ELSS and has a lock-in period and exit load is inherently not applicable.

Q. What is Expense Ratio? What is the Expense Ratio of this specific fund?
A. It is the fee charged from the investor for managing his fund money and allocating it to the stocks that can help him earn returns. The fund has an Expense Ratio of 1.54%.

Q. What is the minimum amount of investment required in this fund?
A. You can start investing in this fund with an amount as low as Rs. 500. Additionally, you can also use SIP calculator to calculate the estimated returns that you may generate in a fixed time period.

Q. What is the fund manager’s style of investment?
A.
Mr. Soumendra Nath Lahiri has been managing this fund since January 2013. With over 7 years of experience, is known to deliver remarkable returns with his strength lying in the risk management of portfolios.