Mutual fund advisors are having a tough time convincing investors to commit a lumpsum in Equity Linked Savings Schemes (ELSSs) in the final week of the tax planning season. Investors must finalise their tax-saving investments before March 31, but they are reluctant to invest a lumpsum amount in ELSSs or tax planning mutual fund schemes now as the market is hovering near all-time high. Investments in ELSSs qualify for a tax deduction of up to Rs 1.5 lakh under Section 80C of the Income Tax Act.
"Investors are afraid at this point. Markets are near all-time high and the fear of them plunging anytime is stopping individuals from investing in ELSS," says Pankaj Gera, a Certified Financial Planner (CFP) based in Delhi.
