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Loan Against Mutual Funds Gains Preference Over Redeeming Investments
Loan Against Mutual Funds is emerging as a preferred option over redeeming units, helping investors preserve compounding and manage short-term liquidity needs.
Financial advisors are increasingly recommending Loan Against Mutual Funds as a smarter alternative to redeeming mutual fund units during short-term cash needs. By opting for LAMF, investors avoid breaking long-term compounding and prevent potential tax liabilities triggered by premature redemptions. The facility allows borrowers to pledge existing units and access liquidity while remaining invested. Apply Now