Peerless Mutual Fund has launched an openended debt scheme called Peerless Income Plus Fund. The scheme's investment objective is to generate regular income through a portfolio of predominantly high quality fixed income securities and with a marginal exposure to equity and equity-related instruments, the company said. The new fund offer (NFO) will open for subscription from June 9, 2010, and will close on July 8, 2010. The issue price for the scheme is Rs 10 each for cash during the NFO and applicable NAV thereafter on an ongoing basis. No entry and exit load will be charged for Peerless Income Plus Fund, However, an exit load of 1% will be applicable, if redeemed before one year. The minimum investment amount for retail investors is Rs 1,000 during NFO. The scheme shall reopen for all transactions not later than 30 days from the closure of NFO at NAV-based prices on all business days. The scheme comes with two investment options — growth and dividend (pay out and re-investment). The minimum investment amount under SIP option is Rs 500 per month, 1,000 per quarter and Rs 2,000 on a half-yearly basis. Peerless Group has a captive base of 8 million customers predominantly in tier II and tier III towns. The company has tried to capture the essence of their investment behaviour and saving habits, the company added.
The NPS is a great way to save tax if you don't mind locking in your money till you retire. Till last year, the taxability of the NPS was a big issue. But last year's Budget changed the rules and made 40% of the corpus tax free. The PFRDA wants that the balance 60% to be exempt from tax as well. The emphasis is on increasing pension coverage. So, allowing EEE status (to NPS ) is our major demand (in the Budget NPS is especially useful for investors who may have exhausted the `1.5 lakh investment limit under Section 80C but want to save more. Another way the NPS can cut tax is by rejigging the salary.If a company deposits up to 10% of the basic salary of an employee in the NPS under Section 80CCD(2d), the amount will be tax free. Turn to page 28 to see how much tax this can save. However, the take-home pay of the employee will come down. Invest Rs 1,50,000 and Save Tax upto Rs 46,350 under Section 80C. Get Great Returns by Investing in Best Performing ELSS Funds Top 10 Tax...
