Smart ways to invest and attain early financial freedom

As a starting point, you may like to read my last post on tax saving options -http://mbaclassdiscussions.blogspot.in/2011/12/how-to-save-tax-under-section-80c.html Not much has changed since I last wrote this - except one thing - the finance minister, Mr Jaitley, has increased the amount that you can invest under this section from Rs. 1.0 lac to Rs. 1.5 lacs per annum from this year. Tax saver Mutual funds are basically equity funds that have 60% plus exposure to equities. To avail of tax benefit, you need to stay invested in the fund for three years and that is where the catch is. In Mutual funds, I do not believe in committing to stay invested in one fund for so long. With the markets being so dynamic, I believe in keeping a check on MF’s every quarter and changing my portfolio if the situation demands.
Here is a question that you may have – “I  save Rs X per month and where do I invest  it – I am looking for long term investment (2-3 years atleast) and I am looking for good returns.” There are no straight answers to this question - the answer will  depend on the risk taking ability and life stage of the person investing. Plus as of now, there is the uncertainty of elections ahead and how does one recommend anything at all. 
Searching for good equities at the right price is a waiting game – one has to wait patiently. Over the past few months, there is news of more quantitative easing from Japan and Korea, the US stock markets are at an all time high, the US real estate market looks postive, the jobs data in US is starting to look OK, there is a seeming calm in the EU but the Indian political scene is unstable and does not give much confidence in the short term – with such good and bad news coming in,  the Indian stock markets have to be volatile.