Loan Against Mutual Funds

Loan Against Mutual Funds (LAMF)

Unlock the Value of Your Mutual Fund Investments Without Redeeming Them

A Loan Against Mutual Funds (LAMF) allows eligible investors to obtain a loan by creating a lien on eligible mutual fund units instead of redeeming their investments. This can help meet short-term financial requirements while allowing investments to remain invested, subject to market movements and lender terms.

Key Features

• Loan against eligible mutual fund units
• Overdraft facility, subject to lender approval
• Interest is generally charged only on the utilized loan amount, as per the lender’s terms
• Digital application process, where available
• Continue holding your mutual fund investments while they remain under lien

Why Consider LAMF?

• Meet short-term liquidity requirements
• Avoid premature redemption of mutual fund investments
• Flexible repayment options, subject to lender terms
• Simple and convenient application process through participating lenders

How It Works

1. Check the eligibility of your mutual fund holdings.
2. Select an eligible lending partner.
3. Create a lien on eligible mutual fund units.
4. Complete the application and verification process.
5. Receive the sanctioned loan as per the lender’s terms and conditions.

Our team assists clients in understanding the Loan Against Mutual Funds process and facilitates access to eligible lending partners based on their requirements.

Disclaimer: Loan approval, eligible mutual funds, loan amount, interest rate, processing time and other terms are determined solely by the respective lending institution. Please read the lender’s terms and conditions carefully before availing of any loan facility.