Common investment options | Budget proposal | Impact | What you should do |
Senior Citizens’ Savings Schemes | Section 80 C benefits | A new tax-saving option for senior citizens | Use it as a low-risk option to save tax |
Post Office Time Deposits | Section 80 C benefits | A new low-risk tax saving option | Use it as a low-risk option to save tax |
Liquid funds | No proposal | No new impact | Use it along with fixed deposits for emergencies |
Debt funds | No proposal | No new impact | Consider it only when interest rates start falling |
Balanced funds* (* Equity-oriented)
| Impact of new short-term capital gains tax: 17% | Withdrawals within a year become costlier | Stay invested for the long term |
Equity funds | Impact of new short-term capital gains tax: 17% | Withdrawals within a year become costlier | Stay invested for the long term |
Equity Ulips | Service tax on Ulip AMCs | Higher costs likely for insurance companies | Returns likely to suffer |
Stockmarket | Excise cuts in pharma and auto; govt agri spending | Auto, pharma, FMCG stocks likely to benefit | Look out for stocks in these sectors |
Real estate | Enhanced provision of Rs 6,866 crore under JNNURM | Boost to infrastructure in smaller cities | Rise of real estate investment opportunities in smaller cities |