New Personal Finance
Wednesday, 7/22, 01:12 AM
What is net asset value, and why funds trade at a premium or a discount
- Net asset value is the plainest measure of what a fund is worth: its assets minus its debts, divided by its shares.
- But some funds and holding companies trade above that value, and some below.
- Understanding why is the difference between paying a fair price and overpaying, or spotting a bargain.