How does using an inboud NAT help in terms of security?

Solution 1:

How does using an Inbound NAT in Load balancer help in terms of security?, since it would forward all RDP's to our VM anyway making it feel as if the public ip of the load balancer is the public ip of the VM itself?

It doesn't. NAT is not about security; it's about network addressing.

For filtering traffic, we have firewalls.