Axis ELSS Tax Saver Fund

All Cap

Equity

India Tax Saver

Others

Tax Saver

Aggressive growth Investor Profile

Investor Profile

1–7 yearsInvestment Horizon

HNI, UHNI, Retail Investor, Mass AffluentTarget Segments

SEBI registered equity mutual fund suitable for all investor categoriesRegulatory Fit

Axis Elss Tax Saver Fund Growth invests mainly in stocks for long-term wealth growth.

What This Strategy Does

Axis ELSS Tax Saver Fd Gr is an equity fund which captures India's broad-based earnings growth through a quality-focused, growth-oriented approach, deploying capital across financials, industrials, and consumer sectors to achieve benchmark-aligned compounding.

CW Expert Research Notes

Resilient Outcome

The fund's quality-growth strategy has delivered benchmark-beating returns in 6 out of the last 12 years, showcasing resilience across cycles.

Differentiated Construction

The fund's portfolio construction has evolved, transitioning from a compact, benchmark-agnostic approach to a more diversified, benchmark-aware framework with defined stock exposure limits.

Balanced Risk Profile

With a focus on quality growth companies, the fund is well-positioned to capitalize on structural trends while maintaining a reasonable valuation profile and managing key risks.

Performance and Risk Analysis

Historical returns, volatility patterns, and how this fund has performed relative to its benchmark.

Fund Performance

-3.5% AnnuallyAlpha

+10.4% vs +9.9% benchmarkSince Inception

+10.5% vs +6.3% benchmark3Y Annualized

+5.5% vs +6.5% benchmark5Y Annualized

Axis ELSS Tax Saver Fund

Benchmark Index

Benchmark Performance Comparison

Axis Elss Tax Saver Fund

NIFTY 50

Risk Profile

Standard Deviation17.0%

Maximum Drawdown-15.7% | Oct 2024

Sharpe Ratio-0.43

Beta0.94

Upside Capture88%

Detailed Risks

Market Risk

Potential recession in India could dampen consumer demand, impacting fund's cyclical holdings.

Liquidity Risk

High mid-cap exposure could face liquidity stress during market sell-offs.

Concentration Risk

Overweight in financials/banks raises vulnerability to asset quality or capital risks.

Specific Strategy Risk

Tax policy changes could impact ELSS product demand or investment incentives.

Strategy Details

A closer look at the investment thesis, portfolio construction, and current holdings.

Core Investment Theme

Provides tax-efficient wealth creation through exposure to India's high-growth companies. This fund invests in stocks across market caps, with a focus on quality businesses demonstrating sustainable earnings momentum. The impact is long-term compounding with the added benefit of tax savings under Section 80C. Suitable for investors seeking tax-efficient equity exposure with a multi-year horizon.

Broader Market View

Market Outlook

With equity markets appearing to normalize after the recent correction, the present environment offers an attractive entry point as consumption and earnings recover. Macro tailwinds such as reviving capex and credit growth align with the strategy's tilt towards consumer, financial, and industrial sectors, though competitive pressures and cyclicality pose risks.

Why This Strategy is Attractive Now

The strategy appears well-positioned, with exposure to market leaders across consumer cyclicals/defensives, financials, and technology. Its balanced approach combines growth opportunities and defensive qualities through diversification across around 70 holdings. A moderate beta and flexibility to adapt could allow for risk-adjusted participation as the cycle unfolds.

Investment Style & Process

Investment Style

The portfolio exhibits characteristics of a Quality Growth strategy, emphasizing companies with durable competitive advantages, consistent earnings growth, and reasonable valuations relative to their growth prospects.

Why it Makes Sense

In the current environment of moderating economic growth and elevated uncertainty, a Quality Growth approach can provide exposure to companies with resilient business models and pricing power, potentially offering downside protection while participating in secular growth opportunities.

High-Level Investment Process

Sourcing: The strategy appears to focus on identifying companies with sustainable competitive advantages, strong management teams, and attractive growth runways, drawing from a broad investment universe across market capitalizations and sectors. Selection: The process suggests a preference for companies with consistent profitability, robust cash flow generation, and reasonable valuations relative to their growth prospects, potentially emphasizing factors such as return on invested capital and earnings quality. Construction: The portfolio construction is consistent with a diversified, conviction-weighted approach, balancing exposure to secular growth themes while managing risk through position sizing and sector diversification.

Portfolio Holdings Overview

SectoralAllocation

Capital Goods21.7%

Utilities2.46%

Consumers18.69%

Energy & Infra5.75%

Technology6.62%

Financial Services31.71%

Services13.07%

Geographic Allocation

Domestic100%

Top Stock Holdings

CompanySectorAllocation

ICICI Bank LtdFinancial Services7.04%

HDFC Bank LtdFinancial Services5.64%

Bharti Airtel LtdServices4.32%

Bajaj Finance LtdFinancial Services3.69%

Reliance Industries LtdEnergy & Infra3.59%

State Bank of IndiaFinancial Services3.18%

Infosys LtdTechnology3.14%

Larsen & Toubro LtdCapital Goods2.98%

Mahindra & Mahindra LtdConsumers2.63%

Eternal LtdConsumers2.56%

Fund House Management

The asset management company’s track record, AUM scale, and fund manager credentials.

Fund Manager Track Record

Shreyash Devalkar

Mr. Shreyash Devalkar has experience of 18 years. Manages 36 funds at Axis Asset Management Company Limited with an AUM of approximately ₹1,15,152 Cr Holds a MMS degree.

42 years

Combined Team Experience

₹ 1,51,291 Cr

Assets Under Management

Ashish Naik

Co-Portfolio Manager

Mr. Ashish Naik has experience of 23 years. Manages 24 funds at Axis Asset Management Company Limited with an AUM of approximately ₹36,138 Cr Holds a PGDBM degree.

CW Expert Take

Axis operates with entrepreneurial agility despite institutional backing. Their investment philosophy emphasizes quality compounding in equities and prudent credit selection in debt. The fund house has built focused expertise rather than chasing asset gathering, resulting in concentrated portfolios with high-conviction ideas.

Firm Overview

Total AUM₹3,61,984.16 Cr

Investment Philosophy & Approach

Quality-Growth Focus

Targets companies with sustainable earnings growth potential, credible management, and robust governance.

Disciplined Approach

Employs rigorous bottom-up research, supplemented by top-down risk assessment.

Long-Term Mindset

Aims to back structurally strong businesses through economic cycles.

Operational & Regulatory Details

What it costs to invest, transaction mechanics, and regulatory disclosures you should know.

Costs and Fees

Total Expense Ratio (TER)1.93%

Regulatory & Tax Information

INF846K01131

ISIN

DailyDealing Frequency

BSE 500 India TR INRBenchmark

LTCG | >1Year 12.5%% on gain above 1.25 Lakh

STCG | <1Year 20%%

Tax Implications (India)