J.P. Morgan Interview Question

to explain how a NAV is calculated

Interview Answers

Anonymous

Jul 2, 2016

NAV is net asset value. It is calculated by taking the current market value of fund's net asset (securities held by the fund minus any liabilities) and dividing it by number of shares outstanding. For example: if a fund has a total net asset of $20 million dollars and there are one million shares of the fund, then the NAV is $20 per share.

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Anonymous

Dec 19, 2012

NAV = (assets- liabilities)/ Total number of units Assets contains stocks and bonds in portfolio and liability means fund manager fees and commision. NAV changes daily as Values of stocks and bonds fluctuates.

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