LIC Nomura MF Tax Plan is being managed by Shri Eiichi Oka. Earlier known as Dhan Taxsaver '97, the scheme seeks maximum capital growth with equity allocation up to 85 per cent of the corpus. Allocation to debentures and money market instruments can be up to 15 per cent each. It was made open-ended in April 2000. If you have invested in this fund, exit now to invest in a better performing fund. New investors can safely skip this fund.
LIC Nomura MF Tax Plan is an equity oriented large cap fund which invests your money in socks of large cap companies. Large cap companies tend to be stable compared to mid cap and small cap companies. Presently this fund has 91.22% exposure to large companies and close to 6.8% exposure to mid sized companies.
- Saving on tax outgo
- Child's education
- Child's marriage
- Planning for retirement
- Home Purchase
- Creating wealth
- Lifestyle needs
If you had invested Rs 1 lakh when the fund was launched in April 2000, your value of investments would be around Rs 2.95 lakhs. If you had invested Rs 1 Lakh for 5 years, the value of your investments would have dropped to Rs 1.02 lakhs The performance has not been better than other mutual funds in this category.
Assume you had invested Rs 10,000 every month in LIC Nomura MF Tax Plan through SIP since inception today you would have around Rs 7.48 lakhs.
No exit load applies for units withdrawn from this scheme. Expense ratio of LIC Nomura MF Tax Plan is 2.22%. This is charged to recover the fund management company’s expenses on securities’ transactions, commissions, registrar fees, etc. Your mutual fund returns will be total returns less expense ratio.
The returns in an equity mutual fund are absolutely tax free, provided you do not withdraw within 1 year. LIC Nomura MF Tax Plan qualifies for sec 80C ELSS benefits, which means you can invest up to Rs 1 lakh a year in this fund and deduct the amount from your gross total income for computing income tax.