A mutual fund buys and sells its shares at NAV,plus or minus any sales charges or fees.

Question

Quizplus · Accepted Answer

NAV (Net Asset Value) is the value of all the assets in the mutual fund portfolio minus any liabilities, divided by the number of shares outstanding. When an investor buys or sells mutual fund shares, they are bought or sold at the NAV price, plus or minus any applicable sales charges or fees. This means that the mutual fund company does not make a profit from buying and selling its own shares at a markup or discount to the NAV.

A Mutual Fund Buys and Sells Its Shares at NAV,plus