Mutual Funds

Importance and Applicability of NAV While Buying Funds

While investing in a mutual fund, an investor is required to put in the money that is equivalent to the NAV multiplied by the number of units he/she is willing to purchase. Alternatively, if an investor is willing to invest a fixed sum (say Rs 5000), the fund provides the units infraction (For example, 2.678 units) depending on the NAV applicable.