Loan Against Securities Vs Liquidating Your Investment: Which Is A Better Option and Why?
When you need access to instant funds, you may be faced with the decision of whether to sell or liquidate your investments or take out a loan against securities (LAS). Both these scenarios seem practical at any emergent situation but it is always prudent to assess the pros and cons of each.. In this article, we will discuss the advantages and disadvantages of Loan Against Securities and help you decide which is the better choice for your financial needs.
Loan Against Securities (LAS)
A loan against securities is a type of loan that is secured by pledging your investments as collateral. The lender will assess the value of your securities and offer you a loan based on a percentage of that value. The loan amount and interest rate will depend on the type of securities being pledged, the...