Zerodha ELSS Tax Saver Nifty LargeMidcap 250 Index Fund
A tax saver index fund to invest in top 250 Indian companies
AUM
₹81.26Cr
Expense Ratio
0.25%
Risk
Very High
Min. Investment
₹500
Ideal for
Tax Saving
3 yrs+ Investment Period
Diversification
About the fund
This index fund follows the Nifty LargeMidcap 250 index, and invests your money equally between the top 100 large companies and the next 150 midcap companies. For example, if you invest ₹1000 in this index fund, ₹500 will mostly be allocated towards the top 100 largecap companies and remaining ₹500 will mostly be allocated towards the next 150 midcap companies.
The fund also offers an add-on tax saving benefit. Investments made into the fund (upto ₹1,50,000) can be deducted from your taxable income under the section 80C of the Income-tax Act, 1961. Investing in this fund offers a simple & optimized way to invest passively in the Indian equity market while diversifying across various companies, sectors and market capitalizations.
Midcap companies may offer better return potential compared to largecap companies, but may also be more volatile compared to the largecap companies. Therefore, by equally allocating your money between midcap and largecap companies, the fund aims to offer a good balance between risk & return for long term wealth creations.
The fund might be suitable for investors who are looking for investing with a long term horizon in mind. Investors can choose to start investing with an investment amount as low as ₹500.
Past Performance
Tax Implication
Investment period < 3 year
Given the tax saving nature of this fund, investments are locked for a period of 3 years and funds cannot be withdrawn. So there is no tax implication before 3 years.
Investment period >= 3 year
This is a tax saver ELSS fund and upto ₹1.5 Lakhs can be invested every year to reduce the taxable income. After a lockin of 3 years, gains above ₹1 Lakh are taxed at 10% (plus surcharge, if any and 4% cess).
Returns & Tax Calculator
| Top 7 Equity Holdings | Weightage (%) |
|---|---|
| Hdfc Bank Ltd | 4.44 % |
| Reliance Industries Ltd | 3.85 % |
| Icici Bank Ltd | 3.20 % |
| Infosys Ltd | 2.10 % |
| Tata Consultancy Services Ltd | 1.64 % |
| Larsen & Toubro Ltd | 1.58 % |
| Itc Ltd | 1.54 % |
Fund Manager
Kedar has an experience of 17 years in financial markets, across multiple roles at Aditya Birla Sunlife AMC Ltd (ABSLAMC), including fund management for passive products, where he managed 13 ETFs and Index Funds in equity & commodity. Kedar's belief in his own words is - "Passive investing uses the collective intelligence of the market instead of manually picking stocks and works for most investors."
Riskometer
Riskometer of the scheme
Riskometer of the benchmark - Nifty LargeMidcap 250
This product is suitable for investors who are seeking*:
- Long term capital growth
- Investment in securities covered by Nifty LargeMidcap 250 Index
Investors should understand that their principal will be at Very High Risk
*Investors should consult their financial advisers if in doubt about whether the product is suitable for them.