You said,"The NAV of a mutual fund corresponds to the book value of a stock. The NAV is arrived at by calculating the market value of the investments net of expenses" If that be so, where is the profit parked? How is it accounted for?
RE:NAV of MFs
by Poonam Mishra on Jul 24, 2008 11:10 AM Permalink
simple, in the market value of the portfolio. if portfolio is in profit, it will be higher and in loss then lower. if fund manager is holding cash, then that will also reflect in market value.
