On the one hand, the bank is continuously reducing the returns on the deposited capital of the customers, on the other hand, during the recession, any investment seems to have little hope of good profit. Interest rates on savings and FDs are continuously declining and the stock market has crashed these days. Overall, the economy is currently in critical condition. In such a situation, invest in Equity Linked Savings Scheme (ELSS) will be more profitable to investors.
Why investing in ELSS is more beneficial
- Investments under this are exempt from tax under section 80C. can invest Up to 1.5 lakhs under 80C.
- Its lawn-in period is only for 3 years.
- Earnings from ELSS falls under Long Term Capital Gain (LTCG), though taxable.
- Investors of ELSS can also opt for Systematic Investment Plan (SIP). Meaning, they can deposit in it on a regular basis.
If you want to invest for a long time, then choose ELSS. It is a golden opportunity for investors to invest in the market. Corona is definitely affected today, but in the coming days, the market will again see a bullish trend and those who invest now will get better returns than expected.