“This change is generally to bring uniformity across the names and the category. This guideline by Sebi will bring parity on the name of the schemes. Most of the fund houses have it in other categories, now they are bringing parity in this category,” says Chokkalingam Palaniappan, Director of Prakala Wealth, a Chennai-based advisory firm.
​Fund houses earlier used to name their schemes as per their choice, but the new names have ELSS and/or tax saver in them. For example, ICICI Prudential Long Term Equity Fund (Tax Saving) is renamed ICICI Prudential ELSS Tax Saver Fund. Similarly, Mirae Asset Tax Saver Fund will now be called Mirae Asset ELSS Tax Saver Fund.
According to the fund houses, all other terms and conditions of the SID/KIM of these schemes remain unchanged. The notice-cum-addendum by the fund houses forms an integral part of the SID and KIM of the above-mentioned schemes, as amended from time to time.
Following Sebi s recent order to use uniform nomenclature for tax saving mutual funds, prominent ELSS have changed their names to help investors in identifying schemes in the same league.