Meaning
Understand what Net Asset Value signifies for investment funds.Definition
NAV represents the per-share value of an investment fund, such as a mutual fund. It indicates the intrinsic worth of one unit or share of the fund.Calculation
It is calculated by subtracting the fund’s total liabilities from its total assets and then dividing the result by the number of outstanding shares or units.Significance
Investors use NAV to track the performance of a fund and determine the price at which fund units can be bought or sold.Author
