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Tax Efficiency Becomes Key Driver Behind Borrowing Against Mutual Funds
Concerns around capital gains taxation are driving interest in LAMF as investors seek liquidity without triggering taxable redemptions.
As investors plan finances ahead of the new calendar year, tax efficiency is emerging as a key consideration. Redeeming mutual funds can trigger capital gains liabilities, especially for investors with large accumulated portfolios. Loan Against Mutual Funds (LAMF) avoids this outcome by allowing access to funds without selling units. This structure is gaining relevance among investors seeking short-term liquidity while preserving tax efficiency. Apply Now