Is a mutual fund with a lower NAV necessarily a better investment than one with a higher NAV? Option: It depends on the investor's risk tolerance, Yes, lower NAV indicates a cheaper and more attractive investment, No, NAV does not directly correlate with the fund's performance, It depends on the fund's investment strategy

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Is a mutual fund with a lower NAV necessarily a better investment than one with a higher NAV?

It depends on the investor's risk tolerance

Yes, lower NAV indicates a cheaper and more attractive investment

No, NAV does not directly correlate with the fund's performance

It depends on the fund's investment strategy

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What does NAV represent in the context of mutual funds?

Non-Annual Volatility

Net Annual Yield

Nominal Asset Valuation

Net Asset Value, similar to a share price

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What factor can significantly influence the NAV of an open-ended mutual fund?

Economic Forecasts

Fund Manager's Expertise

Performance of Underlying Securities

Investor Sentiment

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What does NAV represent in the context of a mutual fund?

"Non-performing Asset Value, indicating the risky investments in the fund"

"Notional Asset Value, an estimated value of the fund's future performance"

"Net Asset Value, reflecting the current value of the fund's holdings"

"New Asset Valuation, determined at the time of the NFO"

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What should investors primarily consider when choosing a mutual fund to invest in?

The fund's NAV

The fund's expense ratio

The fund manager's reputation

The fund's historical performance and returns

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What does NAV stand for in the context of mutual funds?

"Notional Asset Price"

"Net Asset Value"

"Nominal Asset Value"

"Net Asset Price"