Mahindra Mutual Fund Kar Bachat Yojana – an Open Ended ELSS Scheme with a 3 year lock-in period. The New Fund Offer closes on October 7, 2016, and will reopen for continuous sale and repurchase from October 19, 2016.
Mahindra Mutual Fund Kar Bachat Yojana, is targeted at tax payers who can avail of the benefit of deductions allowed under Section 80C of the Income Tax Act 1961. It will provide these investors with a tax-saving option under section 80C. Additionally, since each investment remains locked in for a period of three years, all redemption proceeds are tax free.
Mahindra Mutual Fund Kar Bachat Yojana Scheme Overview:
- An open ended equity linked savings scheme with a 3 year lock-period
- Units of this scheme can be purchased anytime during and post New Fund Offer
- Mahindra Mutual Fund Kar Bachat Yojana scheme asset allocation will be 80-100% in equity and equity related securities and 0-20% in debt and money market securities
- Units can only be redeemed after 3 years from the date of purchase
Mahindra Mutual Fund Kar Bachat Yojana Product Benefits:
- Potential Capital Appreciation: Scheme invests in a diversified equity portfolio thereby offering the possibility of growing investments.
- Tax Benefit: Investments in this scheme are entitled to tax exemption under section 80C. Possibility of saving upto Rs 46,350/-**. All redemption proceeds are tax free!
- Lock-in Feature: This feature endeavors to protect investments from impact of short term market volatility.Lock-in of only 3 years! Other traditional tax savings options may have longer holding periods.
*The Scheme does not guarantee or assure any returns.
**Assuming investor is in the highest tax bracket and uses the entire Rs 1.5 lac limit available under Section 80C of Income Tax Act 1961 for investing in only Mahindra Mutual Fund Kar Bachat Yojana. The tax benefit is calculated on the basis of currently applicable marginal tax rate of 30.9% (for income up to Rs 1 crore) applicable for the current highest tax bracket. Please consult your financial / tax Advisor Broker Agent before investing.
**Assuming investor is in the highest tax bracket and uses the entire Rs 1.5 lac limit available under Section 80C of Income Tax Act 1961 for investing in only Mahindra Mutual Fund Kar Bachat Yojana. The tax benefit is calculated on the basis of currently applicable marginal tax rate of 30.9% (for income up to Rs 1 crore) applicable for the current highest tax bracket. Please consult your financial / tax Advisor Broker Agent before investing.
| Scheme Name | Mahindra Mutual Fund Kar Bachat Yojana |
| Scheme Type | Open Ended Scheme |
| Scheme Category | ELSS (Tax Saving 80C Scheme) |
| New Fund Offer Launch Date | 22 Aug 2016 |
| New Fund Offer Closer Date | 07 Oct 2016 |
| Entry Exit Load | Entry Load – NIL , Exit Load – NIL |
| Option | Growth & Dividend Payout |
| Minimum Subscription Amount | Rs. 500 and in multiples of Rs. 500 thereafter |
SIP Details
| Minimum Investment Amount | Rs. 500 |
| SIP Transaction Date | 1 , 5 , 10 , 15 , 20 , 25 |
- Cheque in the name of scheme e.g. “Mahindra Mutual Fund Kar Bachat Yojana ” or Mahindra Mutual Fund Kar Bachat Yojana – Investor PAN No ” or “Mahindra Mutual Fund Kar Bachat Yojana – Investor Name”. Also write Investor Application Form No or Folio No or PAN No of Investor.
- Each SIP installment will be subject to a Lock in period of three years
