1. Dual Purpose of Taxation and Investment
Though tax-planning with option tips is an important aspect of financial planning many times we compromise on returns receivable on our investments as we are only looking at the product from a tax deduction perspective.
2. Diversification of Your Retirement Fund
Diversification is an imperative part of financial planning. Funds for retirement should also be well diversified. Usually, retirement planning is done around the fixed and secured investments like government bonds and FDs. Research analysis are considered as best option to check on long investment goals.
3. Easy and Flexible Investments
Investments with stock tips are made flexible. Apart from this, investments in tax saver mutual funds can be made by investing in a lump sum or through a SIP to take the benefit of rupee-cost averaging. Many investors prefer to take the SIP option to gain from the option of rupee cost averaging.
4. Professional Management of Funds
ELSS is managed by fund managers who have years of experience and expertise in selling and buying stock based on extensive research. They use the available funds optimally to ensure that the investments give the best possible returns to the investors.