UTI Equity Tax Savings Plan fund is being managed by an expert manager Swati Kulkarni. Yet the fund has underperformed compared to its benchmark and peers. If you have completed the lock-in period of three years, exit the fund now.
UTI Equity Tax Savings Plans a large cap bias which means most of your money will be invested in stocks of large companies. And just to give kicker returns the fund has some exposure in mid cap companies as well. Large cap companies tend to be stable compared to mid cap and small cap companies. UTI Equity Tax Savings Plan has 17.61% exposure to mid size companies, 3% exposure to small size companies and 79.36% to stocks of large companies.
- Child's education
- Child's marriage
- Planning for retirement
- Home Purchase
- Creating wealth
- Short term needs
- Lifestyle needs
If you had invested Rs 1 lakh when the fund was launched at Dec 1999, your value of investments would be around Rs 4.17 lakhs. If you had invested Rs 1 lakh five years back it would have become Rs 1.11 lakhs. The performance has not been better than other ELSS mutual funds. The fund has been giving at around 2.23% every year for those who stayed invested for last 5 years.
Assume you had invested Rs 10,000 every month in UTI Equity Tax Savings Plan through SIP for the past 5 years today you would have around Rs 7.44 lakhs.
No exit load applies for units withdrawn in this scheme. Expense ratio of UTI Equity Tax Savings Plan is 2.27%. 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.
UTI Equity Tax Savings 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.