Investing in Sundaram MF ELSS Funds provides you returns by way of capital appreciation and regular dividends. Capital appreciation results upon increase in the underlying stock prices over a given investment horizon. The lock-in period of three years helps the fund manager to take asset allocation decisions without the fear for frequent fund redemptions. This holistic approach may eventually lead to higher returns in the long run. Historically, ELSS funds
have known to deliver average returns of around 12%-15% over a period of more than 5 years. However, Sundaram MF ELSS funds do not guarantee assured returns and the fund performance may vary from one period to another. To boost returns, an aggressive investor may consider adding a few small-cap / mid-cap funds to the overall portfolio.