PPFAS Mutual Fund has launched its second open-ended equity fund after six years, said a company press release.
Parag Parikh Tax Saver Fund is an ELSS which will be open for subscription from July 4, 2019 to July 18, 2019.
Similar to other ELSSs, it will offer tax benefits up to Rs. 1.50 lakh under section 80C and have a lock-in of 3 years. The scheme aims to generate long-term capital appreciation through a diversified portfolio of equity and equity-related securities. Nifty 500 TRI index will be the scheme’s benchmark. Rajeev Thakkar, Raunak Onkar and Raj Mehta will manage the scheme.
Sharing the rationale for launching the scheme, Neil Parag Parikh, Chairman and CEO, PPFAS MF said, “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. Today, 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.”
Talking about the scheme’s investment strategy, Rajeev Thakkar, CIO, PPFAS MF said, “Our flagship scheme Parag Parikh Long Term Equity Fund allows us to invest up to 35 per cent in the overseas market. However, an ELSS does not permit us to invest abroad. Besides this, 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.”
