Understanding Net Asset Value (NAV)

In the previous video, we learned about the structure of an asset management company (AMC) and how a mutual fund scheme works. Let's say, you decide to start investing in a mutual fund scheme, the units will be allotted to you at a specific price. This price is called the Net Asset Value (NAV). The NAV of a mutual fund scheme represents the current market value of your investments. Just like the price of a stock, the NAV of a mutual fund scheme changes every day based on the performance of the securities inside the scheme. Remember, a mutual fund is a wrapper that holds assets like stocks, bonds, and commodities like gold.
In this video, Karthik explains what the Net Asset Value (NAV) of a mutual fund scheme is and how it's calculated. You can also dive deeper here: zerodha.com/varsity/chapter/c...

[@sarahthekkiniath1320]

Couldn't have asked for a better explanation. Excellent!

[@Yes_We_Can119]

Amazingly explained and in a very simplified manner! Thank you for explaining the mathematics of Mutual funds!

[@Houseofwisdom-JA]

Cannot be better than this. You expain everything very clearly.

[@kartikeydwivedi4774]

Today got to know everything about NAV... GREAT

[@rajdeepbanerjee8339]

amazing sir, your videos aren't very long but they are supreme to the understanding of complex concepts like this. And our explanations are very impactful Thank u so very much

[@amithathakur363]

Thankyou Karthik. Hope to get better with my finances under your tutelage 😊

[@phanichaitanya]

Simply superb....Excellent job. Crisp and Clear explanation

[@gouranga1876]

Very good explaination 👍

[@zhirley93]

very easily explained

[@DarkoPrizmic]

Excellent video, comprehensive and concise. Is there a (free) software (or excel) for calculating NAV, in case someone manages his portfolio as an investment fund or manages the money of family members?

[@actoramana6720]

Excellently explained sir🎉 My namaskarams 🙏

[@pintudatta1763]

Jai ho Gurudev 🙏

[@crysre]

@varsitybyzerodha this video should be 4th on the playlist instead of 6th.

[@krdeepak_7]

Nicely Explained

[@kaushalmaurya4550]

Very nice explanation.

[@CIGwithOZZY]

That was awesome thank u

[@PerhapsSeanKgomotso]

THANK YOU!!!

[@arshwindersinghful]

Do we need to look for NAV even though the return 40%+ in 3 or 5 yrs? Any cap on nav to concentrate before invest?

[@nityah6815]

Please remove the background music, it makes it hard to understand you and feels like you are talking faster too.

[@mePrafull]

thank you very much

[@krishg767]

Hi sir ur videos superb.... Please make a video for how to pick , value stock at right price.....🙏

[@niloypal1711]

One mistake, I think the technical team has done, that instead of Rs. 35,000, it is displayed Rs. 3,500 at time 4:15 mins.

[@swatijain797]

For very long duration like 45 years, you said, which MF. would you suggest.

[@nuthanmurari]

You provided profit percentage added to the initial value and it turns current value of his unit. I am in a confusion that when this fund manager expenses deduct if you can provide that in detail that would be really great for everyone.

[@user-py9zt4vh6d]

When fanily 4 got refunded, how did the same amount was still added in the net capital of 2,75,000? And did they stil received the profit?

[@AdilSheikh4u]

4th video is 6th video in the list & 6th video s 5th video in the list. I got confused, when @kartik mentioned about NAV in 4th video. Pls fix

[@shiva2526]

@varsitybyzerodha, I have few questions. 1. What will happen if majority of the customers sell their units? What will the AMC do with those units? 2. Like wise, if all units are sold out and a new customer wants to invest in the MF. How will AMC allocate them the units?

[@crimcyy]

Can someone explain how the total fund is still 2,75,000 if one family withdrew their funds? I didn't get the point where they exchanged money for units; I mean if they backed out then why the total amount invested is 2,75,000? It should be lesser, right?

[@beingdhruv8122]

Funds adjust after 3.15 PM or market close only. That's why fund not effective..but my question is more deep like from which stocks he will manage that amount ??

[@MarketVisionHub]

Usually all mutual funds houses keep 5-10% cash as a buffer which is used in case of redemption.

[@drshafaligupta5]

Is the notional value always taken as rs 10?

[@shammn6897]

❣️

[@vibhutimenghani8654]

At time stamp 3:42 - Formula can be confusing for beginners!

[@user-su3dh8ig8f]

this video is 4th in the sequence but appears as 6th in the playlist. can we move it to correct place ?

[@varsitybyzerodha]

We'll check on this. Thanks for reporting.

[@somnathshirgire1]

Please make one video on trading strategy

[@varsitybyzerodha]

Hi Sam, we'll look into the possibilities, thank you.

[@drbenirusani]

So the ACTUAL Asset value is = 1.034% ?

[@artistsrpmehra4870]

sir ji hindi me nai h ky apka video

[@thanujkumarsthanujkumars5381]

More vedioes

[@smritinegi8287]

3.44 Notional value of unit = 10*(1+1.034) = 20.34 ... I guess you have calculated wrong... Please explain!

[@vamsikaushik3451]

Another Excellent Video Karthik Sir,But There is A Small Mistake At The Calculation of 3500/10.1034 will give 346.4 And Not 3464.1

[@varsitybyzerodha]

Hi Vamsi, noted.

[@wereolf5473]

Small mistake vamsi, it is supposed to be 35000 not 3500 .

[@videofied1669]

Correction should make of 35000 at 4:16 timeline

[@guruji7898]

Sir please Make your video in Hindi also

[@jayjoshifinance]

This is actually video 4 listed as 6 in the list.

[@varsitybyzerodha]

Noted, Jay.

[@CBS1611]

🤩🤩🤩

[@manishparmar2010jock]

Couldn't understand

[@SavarkarManeTikhapan]

Learn basic economic s then watch these videos😅

[@rushabhshah2181]

How compounding happens in mutual funds?

[@varsitybyzerodha]

Hi Rushabh, we've explained this here: zerodha.com/varsity/chapter/personal-finance-math-part-1/

[@abhiramgottiparthi9366]

many typing mistakes