What key difference distinguishes NAV from AUM in mutual funds? Option: AUM is calculated daily, while NAV is calculated annually, AUM is relevant for equity funds, while NAV is relevant for debt funds, AUM reflects the total market value of assets, while NAV represents the per-unit value, AUM is used to assess fund size, while NAV is used to determine fund fees

<< Back

Hi

Show Ans

i

What key difference distinguishes NAV from AUM in mutual funds?

AUM is calculated daily, while NAV is calculated annually

AUM is relevant for equity funds, while NAV is relevant for debt funds

AUM reflects the total market value of assets, while NAV represents the per-unit value

AUM is used to assess fund size, while NAV is used to determine fund fees

<< Back

Hi

Show Ans

i

What does Asset Under Management (AUM) represent in the context of Mutual Funds?

The minimum investment required to participate in a mutual fund

The total cumulative market value of investments held by a mutual fund

The average return generated by a mutual fund

The number of investors in a mutual fund

<< Back

Hi

Show Ans

i

What does NAV represent in the context of mutual funds?

"The risk level associated with investing in a specific mutual fund."

"The total number of units held by investors in a particular fund."

"The annual dividend payout offered by a mutual fund to its investors."

"The value of one unit of a mutual fund, calculated by dividing total assets by outstanding units."

<< Back

Hi

Show Ans

i

What does AUM stand for in relation to mutual funds?

Asset Under Management, representing the total investment value

Average Unit Measure

Annualized Upside Momentum

Accrued Unit Maturity

<< Back

Hi

Show Ans

i

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

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

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

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

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

<< Back

Hi

Show Ans

i

What does NAV represent in the context of mutual funds?

Net Annual Yield

Nominal Asset Valuation

Net Asset Value, similar to a share price

Non-Annual Volatility