UTI - Treasury Advantage Fund - Direct Plan - Growth Option Net Asset Value

NAV details of UTI - Treasury Advantage Fund - Direct Plan - Growth Option:

UTI - Treasury Advantage Fund - Direct Plan - Growth Option NAV Today(26.09.2022)
₹2945.330.02 %
Exit Load
0%

How was the NAV for UTI - Treasury Advantage Fund - Direct Plan - Growth Option 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.

UTI - Treasury Advantage Fund - Direct Plan - Growth Option NAV calculation:

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

UTI - Treasury Advantage Fund - Direct Plan - Growth Option NAV History

UTI - Treasury Advantage Fund - Direct Plan - Growth Option NAV Monthly History

Month
Open(₹)
Close(₹)
January
2861.71
2870
February
2870
2879.37
March
2879.37
2892.24
April
2892.24
2899.11
May
2899.11
2899.99
June
2899.99
2912.09
July
2912.09
2926.78
August
2926.78
2941.14
September
2941.14
-
Month
Open(₹)
Close(₹)
January
2624.36
2625.77
February
2625.77
2632.73
March
2632.73
2645.07
April
2645.07
2656.43
May
2656.43
2664.7
June
2664.7
2673.78
July
2673.78
2685.41
August
2685.41
2702.3
September
2702.3
2831.49
October
2831.49
2846.14
November
2846.14
2853.44
December
2853.44
2861.71
Month
Open(₹)
Close(₹)
January
2444.29
2458.18
February
2458.18
2473.12
March
2473.12
2484.47
April
2484.47
2498.07
May
2498.07
2530.72
June
2530.72
2556.28
July
2556.28
2572.98
August
2572.98
2581.85
September
2581.85
2590.25
October
2590.25
2605.11
November
2605.11
2616.35
December
2616.35
2624.36
Month
Open(₹)
Close(₹)
January
2548.18
2563.09
February
2563.09
2577.89
March
2577.89
2602.04
April
2602.04
2614.33
May
2614.33
2622.21
June
2622.21
2345.3
July
2345.3
2370.24
August
2370.24
2386.94
September
2386.94
2399.76
October
2399.76
2421.16
November
2421.16
2435.12
December
2435.12
2444.29
Month
Open(₹)
Close(₹)
January
2372.79
2383.31
February
2383.31
2394.76
March
2394.76
2413.55
April
2413.55
2420.49
May
2420.49
2432.13
June
2432.13
2448.42
July
2448.42
2468.28
August
2468.28
2483.22
September
2483.22
2492.87
October
2492.87
2507.55
November
2507.55
2526.35
December
2526.35
2548.18
Month
Open(₹)
Close(₹)
January
2211.58
2229.08
February
2229.08
2241.62
March
2241.62
2255.38
April
2255.38
2267.02
May
2267.02
2282.97
June
2282.97
2297.09
July
2297.09
2312.71
August
2312.71
2327.02
September
2327.02
2336.86
October
2336.86
2350.95
November
2350.95
2361.99
December
2361.99
2372.79
Month
Open(₹)
Close(₹)
January
2028.63
2040.93
February
2040.93
2052.49
March
2052.49
2073.91
April
2073.91
2088.35
May
2088.35
2103.59
June
2103.59
2118.23
July
2118.23
2138.09
August
2138.09
2153.59
September
2153.59
2168.19
October
2168.19
2183.59
November
2183.59
2204.54
December
2204.54
2211.58
Month
Open(₹)
Close(₹)
January
1862.58
1875.31
February
1875.31
1887.59
March
1887.59
1903.52
April
1903.52
1916.05
May
1916.05
1932.47
June
1932.47
1945.98
July
1945.98
1960.32
August
1960.32
1974.61
September
1974.61
1989.72
October
1989.72
2003.35
November
2003.35
2015.91
December
2015.91
2028.63
Month
Open(₹)
Close(₹)
January
1701.54
1713.09
February
1713.09
1724.15
March
1724.15
1739.64
April
1739.64
1753.88
May
1753.88
1768.25
June
1768.25
1780.79
July
1780.79
1793.45
August
1793.45
1806.24
September
1806.24
1820.28
October
1820.28
1835.09
November
1835.09
1849.06
December
1849.06
1862.58
Month
Open(₹)
Close(₹)
January
1551.07
1562.39
February
1562.39
1571.96
March
1571.96
1584.04
April
1584.04
1598.78
May
1598.78
1610.55
June
1610.55
1621.4
July
1621.4
1627.29
August
1627.29
1641.2
September
1641.2
1660.95
October
1660.95
1675.7
November
1675.7
1686.99
December
1686.99
1701.54

What does UTI - Treasury Advantage Fund - Direct Plan - Growth Option’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 UTI - Treasury Advantage Fund - Direct Plan - Growth Option as on 26.09.2022 is 6.82.

Check UTI - Treasury Advantage Fund - Direct Plan - Growth Option 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.