On 14 November 2008, Motilal Oswal Mutual Fund House was established, and currently, Mr. Ashish Somaiya is the MD and CEO of the fund house. The fund house typically focuses on investment opportunities for “by-right” and “sit-right.” Motilal Oswal Financial Services Ltd funds the fund house.
Motilal oswal long term equity fund is an open-ended equity-linked saving scheme (ELSS) with a lock-in period of 3 years. It primarily invests in equities and equity-related securities across industry sizes and sectors. The fund is targeted for long-term wealth creation combined with tax benefits. Fund managers select high-quality market shares based on how QGLP is assessed. The scheme does not guarantee assured returns due to the presence of market uncertainties.
Motilal Oswal Long Term Fund gives the following benefits:
- Savings of up to 46,800 in taxes (by investing in ELSS funds) under Section 80C of the Income Tax Act, 1961.
- The shortest lock-in period allows the fund manager to make better decisions and see-through interim volatility.
- Being a star rated fund, over a 3-year horizon, it has delivered exceptionally high returns. Between the 3-month and 1-year timeframes, however, the fund was unable to cover the contain losses.
Essential information of Motilal Oswal Long Term Fund
Launched date: Motilal Oswal Long Term Fund was introduced by Motilal Oswal Mutual Fund on 21 January 2015.
Risk profile: Being a multi-cap fund, Motilal Oswal Long Term Fund is a moderately high-risk bet and is ideal for investors with a long term investment horizon of 5 years.
What does the risk represent?
Any investment comes with a risk. Risk is the uncertainty or fluctuation in the price (and returns) of the investment.
High Risk = High Potential Return Usually
Low risk = stable, relatively low yields
Redemption: Unit redemption can only be achieved after the expiry of the lock-in period of three years from the date of allotment of units to which the holder has agreed to redeem. The fund house will make it through repurchase/buyback. Under normal circumstances, the fund house must send the redemption proceeds within ten business days from the date of sending the request.
Fund manager: Since December 2015, Mr. Gautam Sinha Roy and Mr. Abhiroop Mukherjee, who have fund management experience, jointly manage Motilal Oswal Long Term Funds.
Fund manager(s) – Aditya Khemani, AbhiroopMukherjee , Gautam Sinha Roy and Snigdha Sharma
Exit load: The fund house Motilal Oswal does not charge any entry load and exit load for investing in long term funds.
Expense ratio – 0.8% as declared on 31-Jan-2020
Fund type: It is an Open-Ended Fund
Tax benefits in Motilal Oswal Long Term Fund
Motilal Oswal Long Term Fund has a lock-in period of three years, which is the lowest among other tax-saving options in India. It gives you Rs. 1.5 lakhs allow you to deduct tax from the total gross income of under section 80C and allows you to save taxes up to Rs. 46,800.