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What is NAV(Net Asset value )?

April 26, 2017ASSET NAV NET value

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What is NAV(Net Asset value )?

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Net Asset Value is the market value of the securities held under the scheme. Since market value of securities changes every day, NAV of a scheme also varies on day to day basis. The NAV per unit, is the market value of securities of scheme divided by the total number of units of the scheme on any particular date. For example, if the market value of securities of a mutual fund scheme is Rs 300 lakhs and the mutual fund has issued 10 lakhs units at Rs. 10 each to the investors, then the NAV per unit of the fund is Rs. 30. NAV is required to be disclosed by the mutual funds on a regular basis – daily or weekly – depending on the type of scheme.