Glossary

Net Asset Value (NAV)

DEFINITION

Net Asset Value, or NAV, is calculated by subtracting an entity's total liabilities from its total assets. In mutual funds and ETFs, NAV is commonly used as the per share or per unit price of the fund at a particular date or time.

ELI5

NAV tells you what a fund is worth after subtracting what it owes. It helps show the value of each share or unit.

Other related terms

Free Look Period

Learn more

Index Fund

Learn more

Insured Perils Coverage

Learn more

Net Worth

Learn more