An empirical study of performance evaluation of selected equity linked saving schemes (ELSS) of India Garg Meenakshi*, Dr. Gupta S.L.** *Research Scholar, MMIM, MMU, Mullana **Sr. Professor & Dean, Faculty of Management, MMU, Mullana Online published on 5 June, 2014. Abstract People usually invest their money in the safe investment alternatives and further continue to search for new safer avenues. They always try to save their money in a manner that it provides tax shield as well as some capital appreciation without blocking it for long period of time. They try to maximize their returns while selecting the different investment avenues. To maximize the return, it depends on the risk tolerance capacity. So risk and return are the motivating force and the principal factor in the investment decision. An Equity Linked Saving Schemes (ELSS) for tax saving is an innovative financial instrument which provides us with a tax saving under section 80 C and also provide capital appreciation in the form of Mutual Fund investment. Other advantage of this fund is that it remains close for five years and one can resale it only after that closing period. The study is based on secondary data covering the period of five years i.e. from 2008 to 2013. The data has been collected for the purpose of analyzing trends and progress of Tax Saving Schemes. The parameters selected for evaluating the performance of selected Tax Saving Schemes are Net Asset Value, Risk, Return, and Expenses Ratio. The statistical tools like Standard Deviation, Beta, Alpha, R-squared, Sharpe Ratio, Jenson Ratio, Trenyor's Ratio etc. are used for data analysis. The study observed that ELSS Tax saving schemes have not only given better opportunity for the investors in terms of diversified portfolio even with a very small amount of investment but also the tax saving advantages. The selected Tax saving schemes in thesample have outperformed the market in terms of absolute returns in the last five years. However, they could not yield adequate return to cover the inherent risk of the various schemes. Top Keywords ELSS tax saving funds, Sharpe Ratio, Jensen Model, Treynor Index, Fama's Index, Kendall's co-efficient of Concordance. Top |