Wednesday, October 20, 2021

NAV or Net Asset Value is Assets minus Liabilities. A company with $1,000,000 in assets and $400,000 in liabilities has a NAV of $600,000.

When divided by total shares owned, the NAV represents a per-share value of the fund or other entity at a certain point in time. Investors mainly use NAV to determine if a mutual fund or exchange-trade fund (ETF) is overvalued or undervalued.

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