Loan Against Mutual Fund (LAMF)

Mutual fund investments get bifurcated under three segments: Investment in equity, debt, and hybrid. As there is a risk in investment in equity shares, there is a risk in the mutual funds that invest directly in equity. Compared to the debt, it has an absolutely low risk. Kindly note the below loan-to-value ratios –

1. Against Equity Mutual Funds: 50-60%
2. Against Hybrid Mutual Funds: 55-65%
3. Against Debt Funds: 75-85%

Apply Smoothly

Key Features of Loan Against Mutual Fund

Benefits of Loan Against Mutual Funds

You can access funds without redeeming your MF units.
Retain ownership while investments continue to grow.
Flexible repayment options aligned with your cash flow.
No restrictions on fund usage – Capex, Opex, working capital, or debt consolidation.
The funding is in the OD facility (pay interest only on the used amount)
The LAMF acts as a liquidity cushion for businesses as well as for individuals.

How Do We Execute the LAMF facility?

1. Submitting the portfolio statement.

2. Analyzing the Strengths and Opportunities.

3. Terkar Capital team shares the In-Principle confirmation (before log in).

4. Post your confirmation, we will get the KYC documents.

5. Log in the Proposal with OTP.

6. Pledging the shares.

7. Final Sanction.

8. Disbursement.

LAS Documents

Generally, documents are very simple, and they vary from applicant to applicant.

1. For Individuals

1. Complete Aadhar card copy.
2. Clear Pan Card copy
3. Cancel cheque
4. Passport-size photo.
5. Portfolio statement.

2. For Businesses

1. Business KYC (As per Partnership firm/ Private Limited company / LLP / Public Limited company / HUF)
2. Owner KYC - as like individuals.

Loan Against Mutual Fund at Terkar Capital

At Terkar Capital, we make it easier for you to convert your mutual fund into immediate liquidity without redeeming it. With our strong expertise in debt facilitation, we structure LAMF facilities that are fast, flexible, and cost-effective. For businesses looking for working capital, our tailored solutions ensure minimum cost and maximum liquidity. We also make sure to offer competitive interest rates, smooth processing, and complete transparency.

Submit Your Details Below

FAQs on Loan Against Mutual Funds

Since the loan is secured against your investments, no credit score check is required in most cases.

Since the loan is often provided in OD format, you only pay interest on the amount you actually use. This makes it an ideal tool to manage seasonal dips in revenue without taking on debt or diluting equity.

Unsecured loans are costly and depend on credit score or financials. LAMF, being secured against mutual funds, offers lower interest rates, faster processing, and no credit score dependency.

There is generally no capping. The limit depends on the portfolio size and fund value. Thus, making it scalable for SMEs as well as large corporations.

Yes. There is no end use restriction. Hence, promoters leverage this facility to infuse capital quickly without diluting ownership or disturbing strategic investments.

We Facilitate the Following Funding Instruments

Client Testimonial

Terkar Capital is the perfect company to approach for your funding needs - whether they be conventional or non-conventional. They have a professional and reliable team who will work with you to get the best possible outcome for your requirements.

Neha Mankani

Hands down the best experience with Terkar Capital. I was in urgent need of funding and required unsecured working capital for that matter. However, I came in contact with Mr. Vishal Terkar and after that everything was taken care of by them. Thank you for making it the smoothest experience.

SHAMLAL NAGPAL

We are grateful for the services provided by Terkar Capital for gathering funding for my business operations. They helped us achieve finances at a reasonable cost and maintain transparency in their work. It was a great experience working with such a skillful team. Thank You.

Pranav Ingavle

Terkar Capital is a registered brand of Terkar Global Financial Development Pvt Ltd, an Investment Banking Firm with a national footprint. We work extensively with professionals and businesses of all sizes to arrange debt funding instruments.