Assuming FD rate to 5% p.a and loan interest against FD be 7% p.a and average equity investment return from diversified portfolio be 15% to 20% p.a. over long term will it make sense to take loan on FD and then invest in markets?
No.
This is not guaranteed by any means. Plus: “long term” may turn out to be 15 years, out of which the first 14 years may have small to negative returns. So you will end up paying the interest out of your own pocket, seemingly indefinitely. Not many people will have the fortitude to hold on to the original thesis for this long; I am certain that I won’t.
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Lets assume someone is able to achieve 15% pa return for long term. Does it makes sense then?
This assumption is what doesn’t make sense. If you start with a senseless assumption, then you can build any sort of dream castle on top of it. Usually ends in tears when fantasy meets the real world.
You think 15% pa from equity investing is building castles in dream?
How many times are you going to ask same question multiple times in this forum?
Haven’t you already taken that loan?
Those two questions are different if you haven’t noticed.
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How does it matter what I think?
Till someone gives him the answer that he wants to hear.
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Its not directed specifically to you. Is it a crime to get second opinion?
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Lol … I already gave him the answer he wanted 15 days back
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Man. you already have 27 opinions on your previous question
Does it makes sense to take personal loan to invest in equities?
And you are still looking for second opinion?
15 days back you were looking at 20% to 30% return in equity easily. Now you are down to 15%. Couple of more months and I hope you will be closer to reality 
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The portfolio which I mentioned in that post is up 5% in less than 1 month and other backtested portfolios are up 30% in 6 month. I am keeping my expectations low to manage risk during black swan events like covid.
If people can’t achieve risk free rate + risk premium in any investment then their investment have failed.
A second opinion that matches exactly what I want to hear, is the only second opinion that counts. 
Edited to add: Come to think of it, all those 27 responses were expressing the same opinion, just said by different people. There was no real second opinion, you know, for the meaning of “second = different”. Now tell me, is it a crime to look for that other opinion till one finds it?
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Exactly that is what I am saying. I’ll repeat what I said 15 days ago:
You have all figured out already, and can easily make 30% a year (or is it 30% in 6 months?), then why are you waiting for forum members to confirm it?
Just go ahead take that personal loan / loan against FD, and put it in your back tested portfolio. (if it is 30% a year, better sell your home and put that money in it too)
Every day you are waiting for forum member to confirm your bias, you are loosing out on spectacular returns. Just go ahead man. Don’t wait for anyone else’s opinion.
As I said on previous post, in 4 years, Either you will be very rich or you will have a great experience in risk management
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Thank you for the sarcasm.
Sarcasm???
I am telling this in all sincerity, go ahead and take the loan.
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I think it is only the very last line of your advice which killed it for him:
If only it had been:
, it would have been perfect 
.
Obviously not. You cannot be smarter than the stock market. Moreover, this is not possible.