Academy lesson

What is NAV (Net Asset Value)?

The price of one fund unit

Beginner·5 min read·Mutual Fund Basics Foundation
Sign in to bookmark
Lesson statusIn progress
5 minute lesson

NAV is the per-unit value of a fund, calculated once every business day as: (total assets − expenses) ÷ number of units outstanding.

When you invest, your units = amount ÷ NAV. A key myth: a fund with a lower NAV is not "cheaper" or better - NAV only reflects accumulated growth, not value. What matters is the percentage return, not the NAV number.

Connected intelligence

Continue from this lesson

Every recommendation is based on editor-approved Knowledge Graph relationships.

Learn the concept

related toWhat is AUM (Assets Under Management)?How big the fund isWhy it is here: Connected through the Gajamudra Knowledge Graph.

See the research

researchesThe Itsy Bitsy Spider & Investing: A Childhood Lesson About Consistency | GajamudraThis weekend, everyone will be talking about a famous spider. We thought we'd talk about another one—the tiny spider that may have taught us one of the greatest investing lessons long before we knew what investing even was. Sometimes, the best money lessons aren't hidden in finance books... they're hidden in plain sight.Why it is here: Continue with evidence connected to this lesson.

Explore the data

applies withConviction & ConcentrationGini, HHI, top-5/10/20 weight, largest bet, high-conviction count and breadth — how concentrated and conviction-led the portfolio is.Why it is here: Apply this concept to real disclosed portfolio data.

Understand the terms

explainsNet Asset ValueThe per-unit value of a mutual fund scheme after subtracting liabilities from the market value of its assets.Why it is here: Review a connected term in plain language.

Follow a Learning Route

part of routeTaxationBuild a careful foundation for understanding mutual fund capital gains and tax categories.Why it is here: Follow this topic through a guided Learning Route.

Related knowledge

referencesAssets Under ManagementUnderstand scheme size without treating size alone as quality.Why it is here: Connected through the Gajamudra Knowledge Graph.
Finished this lesson?

Sign in free to keep your place across devices.

Sign in to track