You will still get hallucinations. With RAG you use the vectors to aid in finding things that are relevant, and then you typically also have the raw text data stored as well. This allows you to theoretically have LLM outputs grounded in the truth of the documents. Depending on implementation, you can also make the LLM cite the sources (filename, chunk, etc).

I’m still learning this advantages and differences between them, would there be benefits to SFT and RAG? Or does RAG make SFT redundant?