Investors in assured return schemes can heave a sigh of relief. The finance minister has chosen to maintain status quo on the much-dreaded "EET" front. As a result, conventional tax-saving avenues like Public Provident Fund (PPF) among others will continue to remain tax-free on maturity for now.

Most importantly, the finance minister placed fixed deposits on the comeback trail as far as tax benefits are concerned.

The gamut of instruments eligible for deduction under Section 80C stands enhanced. Fixed deposits from scheduled banks have been included as an eligible investment avenue. However, the fixed deposits should have a term of 5 years or more.

This spells good news for risk-averse investors for whom fixed deposits tend to be "core" investments. Keeping with the principles of financial planning, these investors have now been granted the opportunity to conduct their tax-planning exercise in line with their risk profile.

While this step needs to be lauded, we believe the Finance Minister should have extended this benefit to market-linked instruments like fixed maturity plans (FMPs) with no equity component. Like fixed deposits, FMPs also offer a (minimum) assured return by locking-in the yield at the time of investment.

Apart from offering investors a wider choice, this would have also ensured that a level playing field is created between investors with a flair for market-linked instruments and those who prefer assured return instruments.

Finally, the scope of Section 54EC has been restricted to two institutions i.e. NHAI and REC. Consequently, investors who wish to invest in capital gains bonds for the purpose of tax-saving will have fewer options to choose from.

All in all, if you are a risk-averse investor who typically invests in assured return schemes, this budget is a positive one for you.

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