SQL Server: Hidden risks of using DBCC SHRINKFILE

Question

We're getting a huge LDF file by using a full recovery mode in a SQL Server DB. so we're planning to shrink the log file.

Is there any performance penalty for using DBCC SHRINKFILE to reduce the database log file size (LDF)?

and what about applying it to the data file (MDF)?

Answer 1

I think this should be helpful: http://www.mssqltips.com/tip.asp?tip=2055