PPFAS Mutual Fund brings Parikh Tax Saver Fund

PPFAS Mutual Fund has recently brought a new scheme – Parag Parikh Tax Saver Fund. It is an open-ended Equity Linked Savings Scheme (ELSS) with a statutory lock-in period of three years. The fund house in a press release stated that the scheme aims to generate long-term capital appreciation through a diversified portfolio of equity and equity-related securities.

The new fund offer opened for subscription on July 4 and closed on July 18 2019. The minimum initial investment in the scheme was Rs 500 and multiples of Rs 500 thereafter. The scheme is slated to reopen on July 26. The scheme benchmarked against Nifty 500 TRI and managed by Rajeev Thakkar, Raunak Onkar and Raj Mehta. “We had been receiving repeated requests for an ELSS Scheme for the past few years. However, we chose to wait until we attained a certain number of investors. We are gratified that a little more than one lakh investors have chosen to invest in our flagship equity Scheme, which we believe is a validation of our philosophy and approach to managing money.

Consequently, we concluded that this was an opportune time to launch our ELSS,” Neil Parag Parikh, Chairman and CEO, PPFAS Mutual Fund said.

According to the press release, the scheme will invest minimum 80% of its corpus in equities and maximum 20% will be invested in debt instruments and money market instruments.

“Our flagship scheme Parag Parikh Long Term Equity Fund allows us to invest up to 35% in the overseas market. However, an ELSS does not permit us to invest abroad. Besides, I don’t think there will be any change in our investment approach and philosophy. We can invest in stocks of all sizes, sectors wherever we find value. We can also participate in buy-backs and other special situations,” Rajeev Thakkar, Chief Investment Officer, PPFAS Mutual Fund said.