PPF: I am more powerful than you.
ELSS: Why?
PPF:
1. I hold my investors for 15 yrs. They can’t leave me before that.
2. Once they choose me, they have to contribute something every year. Else I deactivate them.
3. They can’t touch me even if they are in urgent need of money.
4. They to invest with me for 15 yrs for their TAX Planning under 80c.
5. I give guaranteed return. I am not volatile like you.
6. I have government backing.
ELSS: I may not be powerful like you but I am helpful to my investors.
1. I don’t want to forcefully hold them. If they are not comfortable with me, they can leave after 3 yrs.
2. I don’t ask them for mandatory contribution and I don’t deactivate them.
3. As I told they can touch me any time after 3 yrs.
4. For Tax Saving they need to invest with me only for a period of 3 Years and I will take care of their TAX Planning under 80c for their entire life.
5. Your return is also volatile which changes every year. I know I am volatile but I provide them a tool (SIP) to get benefit from my volatility and I help them to beat inflation to create wealth.
6. Off course you have a backing of government but even govt is not able to maintain your attractiveness. That is why you are at 7.6% from 12%.
