IDFC Tax Advantage (ELSS) Fund - Direct Plan - Growth Net Asset Value

NAV details of IDFC Tax Advantage (ELSS) Fund - Direct Plan - Growth:

IDFC Tax Advantage (ELSS) Fund - Direct Plan - Growth NAV Today(01.10.2022)
₹106.710.53 %
Exit Load
0%

How was the NAV for IDFC Tax Advantage (ELSS) Fund - Direct Plan - Growth arrived at?

The Net Asset Value is the per share market value of a mutual fund scheme. It is obtained by dividing the difference between the firm's total assets and liabilities by the number of outstanding units in the fund.

IDFC Tax Advantage (ELSS) Fund - Direct Plan - Growth NAV calculation:

NAV: (Assets - Liabilities)/ Total Number of Outstanding Units

IDFC Tax Advantage (ELSS) Fund - Direct Plan - Growth NAV History

IDFC Tax Advantage (ELSS) Fund - Direct Plan - Growth NAV Monthly History

Month
Open(₹)
Close(₹)
January
107.46
110.16
February
110.16
102.85
March
102.85
109.62
April
109.62
108.37
May
108.37
102.65
June
102.65
97.37
July
97.37
107.22
August
107.22
109.74
September
109.74
-
Month
Open(₹)
Close(₹)
January
72
74.9
February
74.9
82.66
March
82.66
83.26
April
83.26
84.79
May
84.79
90.6
June
90.6
94.33
July
94.33
96.95
August
96.95
99.12
September
99.12
103.76
October
103.76
108.32
November
108.32
103.33
December
103.33
107.46
Month
Open(₹)
Close(₹)
January
59.37
60.53
February
60.53
56.83
March
56.83
39.46
April
39.46
47.3
May
47.3
47.04
June
47.04
51.05
July
51.05
54.33
August
54.33
58.53
September
58.53
59.08
October
59.08
58.67
November
58.67
67.2
December
67.2
72
Month
Open(₹)
Close(₹)
January
57.48
55.58
February
55.58
56.09
March
56.09
61.19
April
61.19
60.46
May
60.46
61.79
June
61.79
61.37
July
61.37
55.01
August
55.01
54.43
September
54.43
56.39
October
56.39
58.44
November
58.44
59.49
December
59.49
59.37
Month
Open(₹)
Close(₹)
January
62.56
63.58
February
63.58
61.32
March
61.32
59.48
April
59.48
63.53
May
63.53
60.79
June
60.79
59.37
July
59.37
60.73
August
60.73
62.81
September
62.81
57.12
October
57.12
55.58
November
55.58
57.16
December
57.16
57.48
Month
Open(₹)
Close(₹)
January
40.43
44.24
February
44.24
45.92
March
45.92
48.03
April
48.03
50.14
May
50.14
52.07
June
52.07
52.04
July
52.04
54.74
August
54.74
55.89
September
55.89
55.56
October
55.56
58.93
November
58.93
59.5
December
59.5
62.56
Month
Open(₹)
Close(₹)
January
40.11
37.56
February
37.56
34.61
March
34.61
37.41
April
37.41
38.41
May
38.41
39.31
June
39.31
40.93
July
40.93
42.8
August
42.8
43.68
September
43.68
43.15
October
43.15
44.41
November
44.41
41.1
December
41.1
40.43
Month
Open(₹)
Close(₹)
January
36.73
39.59
February
39.59
40.04
March
40.04
41.72
April
41.72
40.18
May
40.18
40.89
June
40.89
41.88
July
41.88
42.65
August
42.65
39.4
September
39.4
38.89
October
38.89
38.76
November
38.76
39.46
December
39.46
40.11
Month
Open(₹)
Close(₹)
January
25.59
24.12
February
24.12
24.96
March
24.96
26.13
April
26.13
26.29
May
26.29
28.88
June
28.88
31.35
July
31.35
31.51
August
31.51
33.38
September
33.38
34.26
October
34.26
34.46
November
34.46
36.58
December
36.58
36.73
Month
Open(₹)
Close(₹)
January
22.31
22.6
February
22.6
21.31
March
21.31
21.15
April
21.15
21.67
May
21.67
21.7
June
21.7
21.26
July
21.26
21.12
August
21.12
20.41
September
20.41
21.68
October
21.68
23.86
November
23.86
24.22
December
24.22
25.59

What does IDFC Tax Advantage (ELSS) Fund - Direct Plan - Growth’s NAV mean to investors?

It is a common misnomer that a low NAV implies a better investment. In fact, you would have come across several mutual fund schemes that promote their funds with a low NAV as “cheaper” compared to others. The NAV of a mutual fund is unlike the share price of a stock where stocks with lower values and high growth potential are considered lucrative. When we talk of NAV, it is essentially just the current book value of all the assets minus the liabilities of a particular scheme. The following example can help make things clearer:

Let’s say we have two funds namely, Fund A and Fund B.

The NAV of Fund A is Rs 10 and the NAV of Fund B is Rs 100.

Now, say you have Rs 10,000 to invest in the funds. 

ParticularsFund AFund B
NAVRs 10Rs 100
Units bought (with Rs 10K investment)1000 units100 units
NAV (increases by 50%)Rs 15Rs 150
RetursRs 15,000Rs 15,000


As you can observe from the above table, the returns (Rs 15,000) remain the same irrespective of the NAVs of the funds. Hence, the common notion that funds with higher NAVs give higher returns stands null and false as proved by the above example. Your main focus must be the total returns generated by the fund while making an investment decision. The total return (CAGR) for IDFC Tax Advantage (ELSS) Fund - Direct Plan - Growth as on 01.10.2022 is 17.43.

Check IDFC Tax Advantage (ELSS) Fund - Direct Plan - Growth to get a detailed description of the total returns.

An Important Point to Remember

In case, any company in your mutual fund portfolio distributes dividends. It is of the mutual fund’s discretion to distribute at a particular interval. But when they do, the NAV of your fund shall decrease reflecting a decline in the total corpus of the fund. On the other hand, there are funds that do not give dividends to shareholders but reinvest them in order to buy more units. As a result the total number of outstanding units of the fund increase which shall in turn decrease the NAV of the fund.


In the case of mutual funds of the growth plan category, no dividend is paid to investors. The entire dividend amount is reinvested by the fund in buying more assets to increase the long-term gains of the fund. In this case, the NAV does not decrease.

Factors affecting the NAV of a mutual fund

Profits/ Losses from the underlying assets: The NAV of a mutual fund simply reflects the profits and losses of the underlying assets that the mutual fund has invested in. When the assets increase in their value, the NAV increases and vice versa.


Expenses regarding the management of funds: Mutual funds as you would be aware are managed by professional managers who actively invest in various assets to generate good returns. The managers charge a certain fee for doing the same. These fees are reduced from the total NAV of the fund.


The number of investors who buy and sell units: If a large number of investors book their profits by selling units of the fund at higher NAVs, the NAV shall decrease (similar to profit booking seen in stocks). On the other hand, if investors buy mutual fund units at lower NAVs, due to the rise in the number of units, the NAV drops.


Type of mutual fund: Generally, a regular mutual fund has a higher NAV compared to a direct fund. A regular fund includes broker and intermediary fees whereas a direct fund has none.


Dividend Payouts: As we had explained above, when mutual funds pay dividends, it reduces the NAV as it is akin to withdrawing money from your own investment.

FAQs

The Net Asset Value of a fund is arrived at by dividing the difference between the fund’s total assets and liabilities by the total number of outstanding units of the fund. (Assets-Liabilities)/Total Outstanding Units of the fund.

Investors must be concerned largely about the returns of a mutual fund more than the NAV. It is advised not to base any investment decision purely on the basis of the NAVs of a mutual fund as they do not suggest the future prospects of the fund. While funds with higher NAVs do suggest that the fund has been in existence for a long period of time.

As explained in the paragraph above, the NAV of a fund is simply the value of each unit of a mutual fund got by dividing the difference of total assets and liabilities of a fund by the outstanding shares. A fund with a low NAV does not mean that the fund is available at a cheaper value or vice versa. It simply means that you can purchase extra units of a fund with a lower NAV and fewer units of the same in the case of a fund with a higher NAV.

Mutual Fund Companies update the value of their funds’ NAVs on a daily basis. As per SEBI guidelines, companies have to update their NAVs by 9 PM daily.

There are various factors that affect the NAV of a fund:

  1. Profits/ Losses from the underlying assets
  2. Expenses regarding the management of funds
  3. The number of investors who buy and sell units
  4. The type of mutual fund
  5. Dividend Payouts

We have explained each of these points in the paragraph above.