Bajaj Finserv AMC Launches ‘Bajaj Finserv ELSS Tax Saver Fund’

Bajaj Finserv Asset Management Company (AMC) has announced the launch of the Bajaj Finserv ELSS Tax Saver Fund, an open-ended equity-linked savings scheme that offers both tax-saving and wealth accumulation benefits. The scheme comes with a mandatory 3-year lock-in period and tax benefits under Section 80C of the Income Tax Act, 1961. The New Fund Offer (NFO) opens on December 24, 2024, and closes on January 22, 2025.

The Bajaj Finserv ELSS Tax Saver Fund is designed to provide long-term wealth creation by investing primarily in equity and equity-related instruments. It is targeted at investors who seek growth opportunities in the equity market while also benefiting from tax savings. The fund will be benchmarked against the BSE 500 Total Return Index (TRI).

With a lock-in period of just 3 years, this scheme offers one of the shortest lock-in durations among tax-saving instruments under Section 80C. In comparison, options like Public Provident Fund (PPF), National Savings Certificates (NSC), and Tax-Saving Bank Fixed Deposits have lock-in periods ranging from 5 to 15 years. The combination of tax-saving advantages and wealth-building potential makes this fund an attractive choice for long-term investors, including salaried individuals and first-time investors, who can also invest via Systematic Investment Plans (SIPs) to make affordable and disciplined contributions.

Ganesh Mohan, Chief Executive Officer of Bajaj Finserv AMC, stated, “We are committed to providing smart financial solutions that align with our customers' long-term objectives. While equity markets may be volatile in the short term, they offer significant potential for wealth creation in the long run. ELSS offers the unique advantage of tax-saving under Section 80C, long-term wealth creation through equities, and the lowest lock-in period among other tax-saving options, making it an ideal choice for investors.”

Nimesh Chandan, Chief Investment Officer of Bajaj Finserv AMC, added, “Our investment approach focuses on long-term stock selection, where we identify quality businesses through fundamental analysis. We select companies with strong growth-oriented models, solid management teams, and attractive valuations. The fund’s strategy is built on our proprietary INQUBE investment philosophy, combining superior information gathering, behavioral insights, and quantitative analysis to construct a balanced portfolio.”

The Bajaj Finserv ELSS Tax Saver Fund is available in both Growth and Income Distribution cum Capital Withdrawal (IDCW) options under Regular and Direct Plans. Investors can contribute either through lump sum investments or SIPs, with a minimum investment amount of ₹500. The fund will be managed by Nimesh Chandan and Sorbh Gupta for the equity portion and Siddharth Chaudhary for the debt portion.