About Axis Long Term Equity Fund
Axis Long Term Equity Fund is an open-ended equity-linked saving scheme which comes with a lock-in period of 3 years.
The investment objective of the scheme is to provide for income & long-term capital appreciation to the investors by making investments in a diversified portfolio of equity & equity-related securities across market capitalizations & sectors.
The Benchmark of the scheme is S&P BSE 200 Index.
|Minimum Application Amount||Rs.500 & in multiples of Rs.500 thereafter|
|Minimum Additional Investment||Rs.500 & in multiples of Rs.500 thereafter|
|Type||Minimum Amount||Minimum Installments|
|Monthly||Rs.500 & in multiples of Rs.500 thereafter||6|
|Yearly||Rs.6,000 & in multiples of Rs.500 thereafter||3|
Entry Load: Nil
Exit Load: Nil
Axis Long Term Equity Fund is suitable for investors with moderate to high-risk appetite looking to invest for a period of 5 years & above. This fund is recommended to investors for meeting their tax-saving needs.
As the fund predominantly invests in equity securities, Axis Long Term Equity Fund has the taxability of an equity mutual fund scheme. Following taxation is applicable:
- If the units are sold after 1 year, then the gains on investments are treated as Long Term Capital Gains (LTCG). LTCG of up to Rs 1 lacs in a financial year is tax-free and above that, it is taxed at the rate of 10% without the benefit of indexation.
- If the units are sold within 1 year, then the gains are treated as Short Term Capital Gains (STCG) and are taxed at the rate of 15%.
Being an ELSS Scheme, contributions to Axis Long Term Equity Fund are eligible for claiming tax deductions under Section 80C of the Income Tax Act,1961.
Axis Long Term Equity Fund’s Asset Allocation
Under normal conditions, the pattern of asset allocation is as follows:
|Assets||Minimum indicative allocation (% of total assets)||Maximum indicative allocation (% of total assets)||Risk Profile|
|Equity & Equity related securities||80||100||High|
|Debt & money market instruments||0||20||Low to Moderate|
Who should invest in Axis Long Term Equity Fund ?
ELSS funds are those equity mutual funds that invest in the equity & equity-related securities of companies across market capitalizations & different sectors. These funds provide an opportunity for investors to earn capital gains through its equity investments along with offering tax benefits.
Investments in Axis Long Term Equity Fund can be made by investors who want to invest for their tax-saving needs. The fund has a multi-cap portfolio that provides a diversified equity portfolio that can generate good returns over long periods.
Investors looking to invest in a tax-saving product with high risk/reward characteristics could consider ELSS funds. Otherwise, one could consider other tax saving schemes which offer fixed returns with relatively lower risks.
Though the fund has a lock-in of 3 years, we recommend investments for at least 5 years or more to earn potential good returns on the investments.
The following people are eligible for investing in this scheme:
- Indian Resident Adults (single holder or on a joint basis)
- Hindu Undivided Family
- Partnership entities
- Limited Liability Partnership units
- Minor through parent or a legal guardian
- Sole Proprietor
- Corporates, PSUs & others.
- Banks & Financial Institutions
- Religious & Charitable Trusts
- Defense & paramilitary units
- Foreign Portfolio Investors
- Pension/Provident/Gratuity Funds
- Trustee, AMCs or Sponsors
- Other schemes of Axis or other mutual funds
- Alternative Investment Funds
How to invest in Axis Long Term Equity Fund ?
You can invest in Axis Long Term Equity Fund through any AMFI distributor, AMC, banks, or third party platforms. If you need any help with your investments, you can reach out to our ZFunds Experts on Whatsapp - 7217746224.
Frequently Asked Questions about Axis Long Term Equity Fund Regular Growth Plan
Q. What is the expense ratio for Axis Long Term Equity Fund Regular Growth Plan ?
A. The expense ratio for this mutual fund scheme, as on 15th October 2022, is 1.61 percent. This is the charge that the mutual fund company, Axis Mutual Fund, in this case, levies on investors for managing the fund. Mutual fund companies incur several expenses while maintaining the fund. Additionally, there are operating expenses as well. All these costs are passed on to the investors as a percentage of their total investment. This is called the expense ratio.
Q. Is there any lock-in period for Axis Long Term Equity Growth Fund Regular Plan ?
A. Yes. This mutual fund scheme has a lock-in period of three means. It means that once you invest in the scheme, you cannot sell your mutual fund units for three years from the date of allocation.
Q. What is the asset allocation in different equity categories for this scheme ?
a. Axis Long Term Equity Fund Regular Growth Plan has invested around 98.5 percent of its funds in equity, of which, around 60.5 percent is invested in large cap stocks, 18.3 percent in mid-cap stocks, and 4 percent in small cap stocks.
Q. What is the current Axis Long Term Equity Fund NAV ?
A. The NAV for Axis Long Term Equity Fund as on 15th October 2022 is INR 65.7, while the fund size is INR 32654.1 crores.
Q. Is there any tax benefit for investing in this scheme ?
A. Yes. Axis Long Term Equity Growth Fund is an ELSS or equity-linked savings scheme where you can claim tax deductions under Section 80C of the Income Tax Act, 1961.
Q. What are some other popular mutual fund investment schemes by Axis Mutual Fund ?
A. Axis Small Cap Fund Regular Plan – Growth, Axis Midcap Fund - Regular Plan – Growth, Axis Nifty MidCap 50 Fund – Growth, Axis Bluechip Fund - Regular Plan – Growth, Axis Equity Saver Fund - Regular Plan – Growth, and Axis Balanced Advantage Fund - Regular Plan – Growth are some other well-known investment schemes by Axis Mutual Funds.
Q. What are some other good ELSS schemes besides Axis Long Term Equity Fund Growth ?
A. Quant Tax Plan - Growth Option - Regular Plan, Canara Robeco Equity Tax Saver Fund - Regular Plan - Growth Option, Mirae Asset Tax Saver Fund-Regular Plan-Growth, IDFC Tax Advantage (ELSS) Fund - Regular Plan – Growth, and Parag Parikh Tax Saver Fund- Regular Growth are some schemes where you can invest to claim tax deduction under Section 80C.
Best ELSS Mutual Funds to Invest in India
Axis Bluechip Fund
Axis Multicap Fund Regular Plan
Axis Small Cap Fund Regular Plan
Axis Focused 25 Fund