Top 10 ELSS funds: Save tax, make money

Mutual funds, especially the tax saver variety seems to be on a roll.

Equity linked saving schemes or ELSS as they are known popularly have not only helped you save taxes -- which is the main purpose why most investors put their money into such schemes -- but also made money for you. And loads of it if the figures of top 10 ELSS funds for the period from September 29 2006 till September 28, 2007 are concerned.

While the 30-share BSE benchmark index returned only 38.83 per cent in the same period, these 10 ELSS mutual funds have scored over the Sensex on the returns front.

The best amongst these top 10, Principal Personal Taxsaver, gained 69.57 per cent during the period under consideration while the one at the bottom of this list, Templeton Franklin India Index Tax Fund, gave returns of 39.61 per cent.

Simply put an amount of Rs 10,000 invested in the above two funds on September 29 2006 would have increased to Rs 16,957 and Rs 13,961 respectively by September 28, 2007.

The table below shows the top 10 ELSS funds:

Source: Rediff MoneyWiz