neutral
2h agoThe 'Tax-Neutral Bridge': Using LAMF to Avoid Premature Capital Gains Tax
Investors often need liquidity just before their mutual fund investments reach long-term capital gains eligibility.
A Loan Against Mutual Funds (LAMF) offers a short-term, tax-neutral bridge, allowing investors to access funds without triggering short-term capital gains tax. By comparing loan interest rates against potential tax savings, investors can determine whether borrowing is more cost-effective than selling.
This approach suits those nearing the one-year mark for equity funds or three years for debt funds.
Discvr• By Sneha Pathak
Explore:High Return Equity Mutual Fund
neutral
2h agoThe 'Tax-Neutral Bridge': Using LAMF to Avoid Premature Capital Gains Tax
Investors often need liquidity just before their mutual fund investments reach long-term capital gains eligibility.
A Loan Against Mutual Funds (LAMF) offers a short-term, tax-neutral bridge, allowing investors to access funds without triggering short-term capital gains tax. By comparing loan interest rates against potential tax savings, investors can determine whether borrowing is more cost-effective than selling.
This approach suits those nearing the one-year mark for equity funds or three years for debt funds.
Discvr• By Sneha Pathak
Explore:High Return Equity Mutual Fund
about 2 hours ago
1 min read
71 words
LAMF can help investors defer redemptions and avoid higher short-term capital gains taxes while maintaining market exposure.
Investors often need liquidity just before their mutual fund investments reach long-term capital gains eligibility.
A Loan Against Mutual Funds (LAMF) offers a short-term, tax-neutral bridge, allowing investors to access funds without triggering short-term capital gains tax. By comparing loan interest rates against potential tax savings, investors can determine whether borrowing is more cost-effective than selling.
This approach suits those nearing the one-year mark for equity funds or three years for debt funds.
Investors often need liquidity just before their mutual fund investments reach long-term capital gains eligibility.
A Loan Against Mutual Funds (LAMF) offers a short-term, tax-neutral bridge, allowing investors to access funds without triggering short-term capital gains tax. By comparing loan interest rates against potential tax savings, investors can determine whether borrowing is more cost-effective than selling.
This approach suits those nearing the one-year mark for equity funds or three years for debt funds.
Tags:
markets
mutual funds
markets
mutual funds
tax planning
capital gains
lamf
Nov 8, 2025 • 16:42 IST