SBI Nifty Index Fund Direct Growth Net Asset Value

NAV details of SBI Nifty Index Fund Direct Growth:

SBI Nifty Index Fund Direct Growth NAV Today(28.09.2022)
₹153.681.79 %
Exit Load
0.2%

How was the NAV for SBI Nifty Index 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 Nifty Index Fund Direct Growth NAV calculation:

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

SBI Nifty Index Fund Direct Growth NAV History

SBI Nifty Index Fund Direct Growth NAV Monthly History

Month
Open(₹)
Close(₹)
January
155.21
157.2
February
157.2
150.43
March
150.43
158.27
April
158.27
153.21
May
153.21
148.58
June
148.58
141.83
July
141.83
156.36
August
156.36
158.46
September
158.46
-
Month
Open(₹)
Close(₹)
January
124.4
126.68
February
126.68
131.1
March
131.1
132.07
April
132.07
129.98
May
129.98
138.55
June
138.55
139.78
July
139.78
140.72
August
140.72
152.48
September
152.48
156.59
October
156.59
160.29
November
160.29
153.54
December
153.54
155.21
Month
Open(₹)
Close(₹)
January
107.95
105.96
February
105.96
99.21
March
99.21
72.89
April
72.89
87.01
May
87.01
86.76
June
86.76
92.13
July
92.13
97.98
August
97.98
101.6
September
101.6
101.13
October
101.13
103.28
November
103.28
116.34
December
116.34
124.4
Month
Open(₹)
Close(₹)
January
95.82
95.69
February
95.69
95.53
March
95.53
102.63
April
102.63
103.32
May
103.32
104.98
June
104.98
104.67
July
104.67
97.11
August
97.11
97.65
September
97.65
100.6
October
100.6
105.43
November
105.43
106.85
December
106.85
107.95
Month
Open(₹)
Close(₹)
January
90.72
95.78
February
95.78
91.02
March
91.02
88.15
April
88.15
93.57
May
93.57
93.35
June
93.35
93.7
July
93.7
99.43
August
99.43
102.48
September
102.48
96.59
October
96.59
91.17
November
91.17
95.5
December
95.5
95.82
Month
Open(₹)
Close(₹)
January
70.62
75.18
February
75.18
77.21
March
77.21
79.26
April
79.26
80.35
May
80.35
83.11
June
83.11
82.51
July
82.51
87.83
August
87.83
86.65
September
86.65
85.04
October
85.04
90.77
November
90.77
87.99
December
87.99
90.72
Month
Open(₹)
Close(₹)
January
68.05
64.55
February
64.55
61.71
March
61.71
66.05
April
66.05
67.2
May
67.2
70.11
June
70.11
71.62
July
71.62
74.39
August
74.39
75.64
September
75.64
74.25
October
74.25
74.44
November
74.44
70.7
December
70.7
70.62
Month
Open(₹)
Close(₹)
January
70.52
74.87
February
74.87
75.07
March
75.07
72.97
April
72.97
69.61
May
69.61
71.63
June
71.63
72.01
July
72.01
72.85
August
72.85
66.52
September
66.52
67.93
October
67.93
68.96
November
68.96
67.99
December
67.99
68.05
Month
Open(₹)
Close(₹)
January
53.83
52.01
February
52.01
53.58
March
53.58
57.28
April
57.28
56.98
May
56.98
61.49
June
61.49
65.1
July
65.1
64.96
August
64.96
68.62
September
68.62
67.86
October
67.86
71.01
November
71.01
72.9
December
72.9
70.52
Month
Open(₹)
Close(₹)
January
50.96
51.3
February
51.3
48.9
March
48.9
48.67
April
48.67
50.55
May
50.55
51.2
June
51.2
50.5
July
50.5
49.13
August
49.13
46.88
September
46.88
49.49
October
49.49
53.95
November
53.95
52.8
December
52.8
53.83

What does SBI Nifty Index 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 Nifty Index Fund Direct Growth as on 28.09.2022 is 12.01.

Check SBI Nifty Index 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.