Indiabulls Short Term Fund Direct Growth Net Asset Value

NAV details of Indiabulls Short Term Fund Direct Growth:

Indiabulls Short Term Fund Direct Growth NAV Today(04.10.2022)
₹1942.480.01 %
Exit Load
0%

How was the NAV for Indiabulls Short Term Fund Direct 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.

Indiabulls Short Term Fund Direct Growth NAV calculation:

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

Indiabulls Short Term Fund Direct Growth NAV History

Indiabulls Short Term Fund Direct Growth NAV Monthly History

Month
Open(₹)
Close(₹)
January
1913.62
1912.44
February
1912.44
1922.26
March
1922.26
1926.94
April
1926.94
1924.68
May
1924.68
1910.53
June
1910.53
1915.3
July
1915.3
1932.49
August
1932.49
1944.61
September
1944.61
1942.22
October
1942.22
-
Month
Open(₹)
Close(₹)
January
1844.64
1840.79
February
1840.79
1840.75
March
1840.75
1849.54
April
1849.54
1860.21
May
1860.21
1868.38
June
1868.38
1871.27
July
1871.27
1880.92
August
1880.92
1897.04
September
1897.04
1899.82
October
1899.82
1902.26
November
1902.26
1911.29
December
1911.29
1913.62
Month
Open(₹)
Close(₹)
January
1711.35
1721.96
February
1721.96
1734.21
March
1734.21
1738.98
April
1738.98
1759.08
May
1759.08
1767.89
June
1767.89
1783.05
July
1783.05
1797.73
August
1797.73
1799.38
September
1799.38
1799.75
October
1799.75
1822.47
November
1822.47
1839.97
December
1839.97
1844.64
Month
Open(₹)
Close(₹)
January
1611.98
1620.53
February
1620.53
1632.94
March
1632.94
1651.81
April
1651.81
1662
May
1662
1681.73
June
1681.73
1688.51
July
1688.51
1702.77
August
1702.77
1706.41
September
1706.41
1700.25
October
1700.25
1705.22
November
1705.22
1702.98
December
1702.98
1711.35
Month
Open(₹)
Close(₹)
January
1485.42
1490.55
February
1490.55
1498.52
March
1498.52
1513.37
April
1513.37
1518.56
May
1518.56
1525.09
June
1525.09
1536.96
July
1536.96
1553.43
August
1553.43
1563.82
September
1563.82
1567.57
October
1567.57
1577.49
November
1577.49
1594.12
December
1594.12
1611.98
Month
Open(₹)
Close(₹)
January
1385.81
1400.16
February
1400.16
1404.18
March
1404.18
1412.93
April
1412.93
1420.33
May
1420.33
1431.98
June
1431.98
1440.92
July
1440.92
1455.59
August
1455.59
1465.9
September
1465.9
1470.03
October
1470.03
1479.87
November
1479.87
1482.94
December
1482.94
1485.42
Month
Open(₹)
Close(₹)
January
1264.95
1273.49
February
1273.49
1281.93
March
1281.93
1293.54
April
1293.54
1303.04
May
1303.04
1313.38
June
1313.38
1323.7
July
1323.7
1335.85
August
1335.85
1346.78
September
1346.78
1358.72
October
1358.72
1368.87
November
1368.87
1384.97
December
1384.97
1385.81
Month
Open(₹)
Close(₹)
January
1134.02
1143.12
February
1143.12
1150.79
March
1150.79
1162.24
April
1162.24
1172.57
May
1172.57
1183.56
June
1183.56
1193.55
July
1193.55
1204.3
August
1204.3
1214.66
September
1214.66
1224.88
October
1224.88
1244.98
November
1244.98
1255.08
December
1255.08
1264.95
Month
Open(₹)
Close(₹)
January
1036.47
1040.75
February
1040.75
1046.28
March
1046.28
1057.42
April
1057.42
1065.61
May
1065.61
1074.75
June
1074.75
1083.28
July
1083.28
1090.84
August
1090.84
1098.71
September
1098.71
1106.87
October
1106.87
1115.64
November
1115.64
1125.4
December
1125.4
1134.02
Month
Open(₹)
Close(₹)
October
1012.65
1023.46
November
1023.46
1026.87
December
1026.87
1036.47

What does Indiabulls Short Term Fund Direct 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 Indiabulls Short Term Fund Direct Growth as on 04.10.2022 is 7.61.

Check Indiabulls Short Term Fund Direct 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.