SBI Magnum Global Fund Direct Growth Net Asset Value

NAV details of SBI Magnum Global Fund Direct Growth:

SBI Magnum Global Fund Direct Growth NAV Today(05.10.2022)
₹309.10.83 %
Exit Load
1%

How was the NAV for SBI Magnum Global 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.

SBI Magnum Global Fund Direct Growth NAV calculation:

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

SBI Magnum Global Fund Direct Growth NAV History

SBI Magnum Global Fund Direct Growth NAV Monthly History

Month
Open(₹)
Close(₹)
January
319.25
305.19
February
305.19
293.41
March
293.41
296.93
April
296.93
282.19
May
282.19
278.69
June
278.69
274.38
July
274.38
305.8
August
305.8
311.56
September
311.56
311.7
October
311.7
-
Month
Open(₹)
Close(₹)
January
228.23
224.6
February
224.6
239.11
March
239.11
245.53
April
245.53
249.87
May
249.87
262.97
June
262.97
276.63
July
276.63
285.17
August
285.17
298.19
September
298.19
300.92
October
300.92
307.69
November
307.69
307.81
December
307.81
319.25
Month
Open(₹)
Close(₹)
January
187.57
190.79
February
190.79
186.23
March
186.23
157.39
April
157.39
177.23
May
177.23
175.52
June
175.52
180.18
July
180.18
189.3
August
189.3
195.53
September
195.53
199.24
October
199.24
198.51
November
198.51
213.55
December
213.55
228.23
Month
Open(₹)
Close(₹)
January
175.99
174.32
February
174.32
172.65
March
172.65
178.59
April
178.59
176.77
May
176.77
177.24
June
177.24
175.6
July
175.6
165.27
August
165.27
170.87
September
170.87
182.92
October
182.92
191.22
November
191.22
188.09
December
188.09
187.57
Month
Open(₹)
Close(₹)
January
194.62
188.15
February
188.15
180.5
March
180.5
178.69
April
178.69
186.66
May
186.66
176.47
June
176.47
174.53
July
174.53
181.78
August
181.78
188.17
September
188.17
171.94
October
171.94
167.48
November
167.48
171.8
December
171.8
175.99
Month
Open(₹)
Close(₹)
January
135.83
142.14
February
142.14
144.87
March
144.87
151.05
April
151.05
155.08
May
155.08
154.73
June
154.73
158.54
July
158.54
162.16
August
162.16
161.85
September
161.85
162.91
October
162.91
172.1
November
172.1
184.77
December
184.77
194.62
Month
Open(₹)
Close(₹)
January
137.35
128.8
February
128.8
123.35
March
123.35
130.1
April
130.1
134.6
May
134.6
137.55
June
137.55
141.49
July
141.49
144.37
August
144.37
147.5
September
147.5
150.89
October
150.89
153.22
November
153.22
141.51
December
141.51
135.83
Month
Open(₹)
Close(₹)
January
127.13
133.77
February
133.77
134.43
March
134.43
138.19
April
138.19
132.43
May
132.43
135.41
June
135.41
136.17
July
136.17
140.85
August
140.85
134.19
September
134.19
136.13
October
136.13
137.39
November
137.39
135.15
December
135.15
137.35
Month
Open(₹)
Close(₹)
January
75.26
73.25
February
73.25
75.52
March
75.52
81.56
April
81.56
82.66
May
82.66
91.03
June
91.03
99.48
July
99.48
100.28
August
100.28
107.99
September
107.99
113.9
October
113.9
115.96
November
115.96
120.69
December
120.69
127.13
Month
Open(₹)
Close(₹)
January
68.52
68.76
February
68.76
65.74
March
65.74
64.84
April
64.84
66.67
May
66.67
68.19
June
68.19
65.06
July
65.06
63.54
August
63.54
60.62
September
60.62
63.89
October
63.89
67.84
November
67.84
71.28
December
71.28
75.26

What does SBI Magnum Global 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 SBI Magnum Global Fund Direct Growth as on 05.10.2022 is 16.71.

Check SBI Magnum Global 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.