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Risks to consider before using Loan Against Mutual Funds
LAMF requires disciplined usage due to market linked risks.
While Loan Against Mutual Funds offers flexibility, investors must carefully understand the risks involved. Market declines can reduce portfolio value and may trigger margin calls from lenders. Borrowing beyond comfort levels can create repayment stress. LAMF works best as a short term liquidity tool when used conservatively, ensuring investment goals stay protected and financial discipline is maintained during volatile market conditions.Apply Now