HSBC Tax Saver Equity Fund

Why equity funds?

Equity graphAll of us aspire for enough wealth to be able to finance at least some of our dreams. Giving our family the very best, educating our children, indulging in a hobby - things that can make our lives more rewarding. One of the best chances of doing so is by investing wisely and regularly today. When one is investing for the long-term, one has to look at generating a return that is greater than inflation. For example, if you get a return of 10 per cent from your investment and inflation is 8 per cent then the real return you have made is 2 per cent. Studies show that equity and equity linked instruments tend to outperform all other forms of investments in the long run. Hence you should look at investing some portion of your money in equity markets with an aim to meet future goals comfortably.


Presenting the HSBC Tax Saver Equity Fund

HSBC Tax Saver Equity Fund (HTSF) is an Equity Linked Savings Scheme (ELSS) that offers an opportunity for tax saving by providing Sec 80C benefits as per the Income Tax Act 1961. Moreover, it seeks to provide capital appreciation by investing in a diversified portfolio of equity and equity-related instruments of companies across various sectors and industries with no capitalization bias. With the Indian economy possessing strong fundamentals and corporate earnings showing great growth potential, equity as an asset class looks set to provide remarkable returns.

For more details on HSBC Tax Saver Equity Fund click here

Key features
Name of the scheme HSBC Tax Saver Equity Fund
Type of scheme An open-ended Equity Linked Savings Scheme (ELSS)
Investment objective Aims to provide long term capital appreciation by investing in a diversified portfolio of equity and equity related instruments of companies across various sectors and industries, with no capitalisation bias. The Fund may also invest in fixed income securities.
Options Growth and dividend (payout)

The investment shall be locked in for a period of three years from the date of allotment.
Date of allotment 05 January 2007
Minimum application amount Rs 500
Minimum additional investment Additional investment in multiples of Rs 500
Load structure (including SIP/STP where applicable) Entry Load
Nil

Exit Load*
Nil.

* No Load in case of switches between equity Schemes of HSBC Mutual Fund. The applicable exit loads (if any) at the time of allotment of the Schemes of HSBC Mutual Fund shall also be charged on investments made by all investors including Fund-of-Funds Scheme(s). Bonus units and units issued on reinvestment of dividends shall not be subject to exit load. The exit load set forth is subject to change at the discretion of the AMC and such changes shall be implemented prospectively.
Transparency NAV will be determined on every business day. NAV of the scheme/option(s) shall be made available at all Investor Service Centres of the AMC. The AMC shall have the NAV published in two daily newspapers and updated on the AMC's website www.assetmanagement.hsbc.com/in and AMFI Website www.amfiindia.com
Systematic investment plan Monthly/Quarterly plan.
Monthly - a minimum of 6 post-dated cheques of Rs 500 each each (6 in case application is through non-ECS locations)
Quarterly - a minimum of 4 post-dated cheques of Rs 500 each
SIP Date 3rd, 10th, 17th or 26th of every month in case of Monthly SIPs and 10th of the relevant month in case of quarterly SIPs. (If these dates fall on a holiday, the transaction will be taken as of the next business day)
Cut-off time
Subscription
Redemption
Switch in
Switch out

3.00 pm
3.00 pm
3.00 pm
3.00 pm
Minimum redemption amount Rs 500
Mode of holding Single, Joint or Anyone or Survivor
Nomination facility Available
Redemption Within 10 working days of the receipt of the redemption request at the Official Points of Acceptance of Transactions of the Registrar and the AMC. The Fund would endeavour to effect redemption payouts (net of applicable taxes) within three business days under normal circumstances
Asset allocation 80-100 per cent in equities and equity-related securities 0-20 per cent in debt, money market instruments and cash.
Dividend frequency Declaration of dividend and its frequency will inter-alia depend upon the distributable surplus.
Dividend may be declared from time to time at the discretion of the Trustees.
Purchase/Redemptions All business days
NAV calculation All business days
Fund manager Aditya Khemani