What is Historical NAV?
The net asset value of a mutual fund is equal to the value of every unit. Calculated by multiplying the value of the assets held by the mutual fund (including the cash) with the number of outstanding units. Historical NAV records the NAV over time of mutual funds.
Why is it important?
- Performance Tracking: It helps investors assess how well a fund has performed over a specific period.
- Comparing Funds: Investors can compare the historical NAVs of different funds to identify the ones with consistent growth.
- Risk Assessment: A fluctuating NAV can indicate higher risk, while a relatively stable NAV suggests lower risk.