PGIM India ELSS Tax Saver Fund for Growth Invest Now

This is an Equity Linked Savings Scheme (ELSS) of PGIM India ELSS tax saver fund with a primary focus in equity and equity related instruments.

This fund regular growth is worth an investor’s consideration if he is looking for tax saver funds for regular growth.

What Is PGIM India ELSS Tax Saver Fund?

This is an open-ended equity linked savings fund of PGIM India Mutual Fund.

Understanding ELSS Mutual Funds

ELSS is an acronym of Equity Linked Savings Scheme. They are essentially equity and equity related funds with a lock-in period of three years.

The lock-in is really one of the most distinctive aspects of ELSS. Unlike other open-ended equity mutual funds, ELSS investments do not allow investors to redeem their units at any time during the three-year lock-in period.

How the PGIM India ELSS Tax Saver Fund Works

The objective of the scheme is to achieve long term capital appreciation through a combination of mainly equity and equity related instruments. It also aims to allow eligible investors to avail the deductions allowed under the prevailing income-tax laws.

The fund invests in equities, so your returns will be tied to the performance of the markets. That also implies a lack of guaranteed returns. There could be some years that seem to be good, but other years that may seem difficult.

PGIM India ELSS Tax Saver Fund Regular Growth at a Glance

It is helpful to understand the fundamental details of this fund regular growth option before embarking on an investment.

Fund Category

The type of the fund is Equity Linked Savings Scheme. This implies blending an equity investment strategy with the special structure designed for ELSS tax saving schemes.

Benchmark

The benchmark for the scheme is NIFTY 500 TRI. The benchmark serves as a point of comparison for investors to assess the fund’s performance in relation to the index’s performance.

Risk Level

The fund is a Very High risk. This is key as equity investments can vary significantly in value.

In case you don’t want your investment to lose its value during market corrections, you should be prudent enough in selecting an ELSS fund.

Investment Horizon

The statutory lock-in is three years, but that doesn’t imply that one should invest with a three year timeframe only.

Equity investing tends to work better on a long-term timeframe, as markets experience various cycles of economic and business activity. At PGIM India, they have set a holding period of three years or more as their ideal.

PGIM India ELSS Tax Saver Fund Regular Plan Growth

The PGIM India ELSS tax saver fund regular growth option is for investors who select the Regular Plan, Growth option.

A Regular Plan includes distribution and intermediary expenses in its expense structure, while a Direct Plan excludes distributor commissions and generally has a lower expense ratio.

PGIM India ELSS Tax Saver Fund Tax Benefits

One of the primary attractions of ELSS investment is the tax benefits.

But if you’re thinking of claiming the deduction, you should know the tax laws beforehand.

Section 80C Deduction

In the old tax regime, the total benefit under Section 80C can be as high as ₹1.50 lakh, subject to the provisions and conditions. Deductions under Section 80C falls under the benefits of old tax regime as mentioned by the Income Tax Department.

The same eligible ₹1.50 lakh limit for eligible investments and its eligibility for the scheme for the applicable tax benefit are provided in PGIM India’s ELSS material.

But the aggregate limit of ₹1.50 lakh is for all the investments in eligible Section 80C schemes. It is not a specific ₹1.50 lakh deduction just for ELSS.

Old Tax Regime and New Tax Regime

The difference is very significant.

In the new tax regime, taxpayers can generally not make deductions in section 80C. In the previous guidance, the Income Tax Department clearly mentioned that Chapter VI-A deductions like section 80C are not available in the new regime (except for certain exceptions that do not include investment deductions under section 80C).

Therefore, if you’re investing in this fund in mind, you should first find out what tax regime you fall under and if you can really benefit from this deduction.

Capital Gains Tax Considerations

Eligibility for tax savings and capital gains tax is two entirely different issues.

ELSS units come with a lock-in period of three years. Once the specified holding period is over, the capital gains could be taxed as per the tax laws of equity oriented mutual funds.

Existing tax rules give a 12.5% LTC rate of 18% + 36.75% (after applying indexation benefit) on eligible gains under Section 112A, subject to an annual exemption of Rs.100, 000.

Investors should check tax provisions as they may vary from year to year, so they should confirm the provisions that are in place for that particular financial year.

PGIM India ELSS Tax Saver Fund Regular Growth Returns

The PGIM India ELSS tax saver fund regular growth option has recorded with varying returns in different periods.

As per the available data till September 2026, the returns were around 8.35% per annum for 3 years, 9.17% per annum for 5 years and 11.73% per annum for 10 years.

The above numbers are historical returns and not forecasts.

Why?

Due to the volatility of the stock market. Stock prices can be affected by interest rates, inflation, corporate earnings, the state of the economy and events in the world as well as investor attitude.

Since, it is better to ask, “Does this fund fit into my long term plan?” instead of, “Will this fund give me a certain return next year?

Conclusion

This fund provides investors with an avenue to invest in equity markets along with getting tax benefits if they are eligible.

Hence, evaluate the PGIM India ELSS tax saver fund regular growth option in accordance with your investment objectives, investment period, risk appetite, expenses and tax liability.

FAQs

1. What is the lock-in period of PGIM India ELSS Tax Saver Fund?

Ans) The lock-in period of this fund is three years. The SIPs each have a three-year lock-in.

2. Is PGIM India ELSS Tax Saver Fund eligible for tax deduction?

Ans) The investments made would be eligible for the applicable tax deductions under the old tax regime, as per the prevailing tax rules and limit under Section 80C.

3. What is PGIM India ELSS Tax Saver Fund Regular Growth?

Ans) This fund is the Regular Plan (Growth) of PGIM India ELSS Tax Saver Fund.

4. Is PGIM India ELSS Tax Saver Fund suitable for SIP investment?

Ans) Yes, investors can take SIPs in ELSS but every SIP will be subject to a three year lock in.

5. Is PGIM India ELSS Tax Saver Fund a high-risk investment?

Ans) Yes. Currently, PGIM India rates the scheme in the Very High risk category as most of the investment is done in equity and equity related securities.