Nippon India Growth Fund - Direct Plan - Growth Net Asset Value

NAV details of Nippon India Growth Fund - Direct Plan - Growth:

Nippon India Growth Fund - Direct Plan - Growth NAV Today(01.10.2022)
₹2289.631.31 %
Exit Load
1%

How was the NAV for Nippon India Growth 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.

Nippon India Growth Fund - Direct Plan - Growth NAV calculation:

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

Nippon India Growth Fund - Direct Plan - Growth NAV History

Nippon India Growth Fund - Direct Plan - Growth NAV Monthly History

Month
Open(₹)
Close(₹)
January
2175.99
2209
February
2209
2079.19
March
2079.19
2168.68
April
2168.68
2177.06
May
2177.06
2075.19
June
2075.19
1987.61
July
1987.61
2201.75
August
2201.75
2305.49
September
2305.49
-
Month
Open(₹)
Close(₹)
January
1490.75
1536.36
February
1536.36
1669.83
March
1669.83
1675.26
April
1675.26
1670.9
May
1670.9
1773.15
June
1773.15
1873.24
July
1873.24
2019.21
August
2019.21
2075.01
September
2075.01
2178.46
October
2178.46
2228.8
November
2228.8
2138.92
December
2138.92
2175.99
Month
Open(₹)
Close(₹)
January
1202.27
1266.57
February
1266.57
1232.8
March
1232.8
854.59
April
854.59
980.23
May
980.23
984.61
June
984.61
1051.37
July
1051.37
1122.92
August
1122.92
1228.25
September
1228.25
1232.34
October
1232.34
1227.28
November
1227.28
1399.46
December
1399.46
1490.75
Month
Open(₹)
Close(₹)
January
1118.64
1090.02
February
1090.02
1095.86
March
1095.86
1176.83
April
1176.83
1160.89
May
1160.89
1191.02
June
1191.02
1184.92
July
1184.92
1085.46
August
1085.46
1089.14
September
1089.14
1115.36
October
1115.36
1160.65
November
1160.65
1192.58
December
1192.58
1202.27
Month
Open(₹)
Close(₹)
January
1249.74
1228.07
February
1228.07
1177.93
March
1177.93
1124.36
April
1124.36
1206.55
May
1206.55
1140.42
June
1140.42
1103.58
July
1103.58
1148.17
August
1148.17
1193.46
September
1193.46
1059.56
October
1059.56
1063.7
November
1063.7
1088.96
December
1088.96
1118.64
Month
Open(₹)
Close(₹)
January
856.38
928.51
February
928.51
967.2
March
967.2
997.47
April
997.47
1034.27
May
1034.27
1045.85
June
1045.85
1051.72
July
1051.72
1119.52
August
1119.52
1108.39
September
1108.39
1089.71
October
1089.71
1190.67
November
1190.67
1182.75
December
1182.75
1249.74
Month
Open(₹)
Close(₹)
January
824.46
762.59
February
762.59
702.17
March
702.17
745.69
April
745.69
769.5
May
769.5
806.68
June
806.68
846.82
July
846.82
886.79
August
886.79
914.92
September
914.92
928.52
October
928.52
955.84
November
955.84
875.96
December
875.96
856.38
Month
Open(₹)
Close(₹)
January
767.77
825.71
February
825.71
829.91
March
829.91
822.3
April
822.3
791.7
May
791.7
818.49
June
818.49
820.69
July
820.69
870.84
August
870.84
799.92
September
799.92
807.94
October
807.94
807.14
November
807.14
819.72
December
819.72
824.46
Month
Open(₹)
Close(₹)
January
494.66
472.25
February
472.25
481.51
March
481.51
513.97
April
513.97
534.54
May
534.54
617.82
June
617.82
668.38
July
668.38
652.01
August
652.01
686.6
September
686.6
712.71
October
712.71
747.43
November
747.43
771.47
December
771.47
767.77
Month
Open(₹)
Close(₹)
January
505.38
496.29
February
496.29
453.81
March
453.81
444.14
April
444.14
453.44
May
453.44
450.88
June
450.88
439.21
July
439.21
400.89
August
400.89
406
September
406
425.6
October
425.6
466.73
November
466.73
469.76
December
469.76
494.66

What does Nippon India Growth 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 Nippon India Growth Fund - Direct Plan - Growth as on 01.10.2022 is 16.77.

Check Nippon India Growth 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.