The stock market has seen a massive plunge in the last about 6 months, wiping off significant gains that mutual funds across categories had clocked in the post-pandemic period. Benchmark equity indices Sensex and Nifty have plunged 14% from their September peaks. This recent crash in equities has ensured that mutual funds across categories remain in the red in terms of their short-term returns (1 month, 3 months and 6 months). In such a situation, choosing the right fund has become more challenging than ever.
With the financial year about to end, many of you would be looking for an investment instrument that also helps in tax savings under the Old Tax Regime. If you want to create wealth for the long term and also want to save tax, then ELSS (Equity Linked Savings Scheme) can be a great option.
Also read: Top 5 dividend yield mutual funds with highest returns in 5 years
In this write-up, we will take a look at the 10 best ELSS mutual funds based on their last 5-year returns.
Top 10 tax-saving mutual funds to invest in 2025
1. Quant ELSS Tax Saver Fund
Returns 5 years: 32.51%
Launch date: 01 January 2013
Riskometer: Very High
2. SBI Long Term Equity Fund
Returns 5 years: 26.08%
Launch date: 01 January 2013
Riskometer: Very High
3. Parag Parikh ELSS Tax Saver Fund
Returns 5 years: 24.93%
Launch date: 24 July 2019
Riskometer: Very High
4. HDFC ELSS Tax Saver Fund
Returns 5 years: 24.20%
Launch date: 01 January 2013
Riskometer: Very High
5. Bandhan ELSS Tax Saver Fund
Returns 5 years: 23.88%
Launch date: 01 January 2013
Riskometer: Very High
6. DSP ELSS Tax Saver Fund
Returns 5 years: 23.04%
Launch date: 01 January 2013
Riskometer: Very High
7. Bank of India ELSS Tax Saver Fund
Returns 5 years: 22.16%
Launch date: 01 January 2013
Riskometer: Very High
8. Franklin India ELSS Tax Saver Fun
Returns 5 years: 22.07%
Launch date: 01 January 2013
Riskometer: Very High
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