PGIM India Liquid Fund Direct Plan Growth Net Asset Value

NAV details of PGIM India Liquid Fund Direct Plan Growth:

PGIM India Liquid Fund Direct Plan Growth NAV Today(03.10.2022)
₹283.930.02 %
Exit Load
0.01%

How was the NAV for PGIM India Liquid 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.

PGIM India Liquid Fund Direct Plan Growth NAV calculation:

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

PGIM India Liquid Fund Direct Plan Growth NAV History

PGIM India Liquid Fund Direct Plan Growth NAV Monthly History

Month
Open(₹)
Close(₹)
January
274.93
275.75
February
275.75
276.55
March
276.55
277.44
April
277.44
278.27
May
278.27
279.16
June
279.16
280.28
July
280.28
281.42
August
281.42
282.7
September
282.7
283.93
October
283.93
-
Month
Open(₹)
Close(₹)
January
265.96
266.62
February
266.62
267.32
March
267.32
268.08
April
268.08
268.8
May
268.8
269.57
June
269.57
270.35
July
270.35
271.11
August
271.11
271.9
September
271.9
272.58
October
272.58
273.31
November
273.31
274.14
December
274.14
274.93
Month
Open(₹)
Close(₹)
January
254.86
255.96
February
255.96
257.05
March
257.05
258.36
April
258.36
259.5
May
259.5
260.71
June
260.71
261.64
July
261.64
262.36
August
262.36
263.15
September
263.15
263.83
October
263.83
264.57
November
264.57
265.28
December
265.28
265.96
Month
Open(₹)
Close(₹)
January
238.63
240.07
February
240.07
241.46
March
241.46
243.04
April
243.04
244.47
May
244.47
245.99
June
245.99
247.47
July
247.47
248.9
August
248.9
250.13
September
250.13
251.32
October
251.32
252.59
November
252.59
253.7
December
253.7
254.86
Month
Open(₹)
Close(₹)
January
221.96
223.2
February
223.2
224.35
March
224.35
225.64
April
225.64
227.13
May
227.13
228.46
June
228.46
229.89
July
229.89
231.34
August
231.34
232.74
September
232.74
234.11
October
234.11
235.62
November
235.62
237.09
December
237.09
238.63
Month
Open(₹)
Close(₹)
January
207.94
209.11
February
209.11
210.17
March
210.17
211.36
April
211.36
212.53
May
212.53
213.72
June
213.72
214.84
July
214.84
216.09
August
216.09
217.28
September
217.28
218.34
October
218.34
219.61
November
219.61
220.72
December
220.72
221.96
Month
Open(₹)
Close(₹)
January
192.98
194.21
February
194.21
195.41
March
195.41
196.87
April
196.87
198.26
May
198.26
199.59
June
199.59
200.86
July
200.86
202.11
August
202.11
203.32
September
203.32
204.45
October
204.45
205.67
November
205.67
206.83
December
206.83
207.94
Month
Open(₹)
Close(₹)
January
177.96
179.24
February
179.24
180.39
March
180.39
181.71
April
181.71
182.99
May
182.99
184.33
June
184.33
185.57
July
185.57
186.8
August
186.8
188.08
September
188.08
189.29
October
189.29
190.54
November
190.54
191.72
December
191.72
192.98
Month
Open(₹)
Close(₹)
January
163.07
164.25
February
164.25
165.33
March
165.33
166.7
April
166.7
167.96
May
167.96
169.23
June
169.23
170.44
July
170.44
171.68
August
171.68
172.92
September
172.92
174.16
October
174.16
175.41
November
175.41
176.68
December
176.68
177.96
Month
Open(₹)
Close(₹)
January
149.3
150.38
February
150.38
151.35
March
151.35
152.5
April
152.5
153.63
May
153.63
154.7
June
154.7
155.77
July
155.77
156.41
August
156.41
157.83
September
157.83
159.24
October
159.24
160.6
November
160.6
161.83
December
161.83
163.07

What does PGIM India Liquid 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 PGIM India Liquid Fund Direct Plan Growth as on 03.10.2022 is 6.82.

Check PGIM India Liquid 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.