From total assets, total liabilities, and shares outstanding, compute the net asset value (NAV) per share.
Input Data
Results
At a glance:NAV per share is the net asset value (total assets minus total liabilities) divided by shares outstanding, representing the underlying value per unit.
Formula
netAssets = totalAssets − totalLiabilities
navPerShare = netAssets / sharesOutstanding
$$NAV = \\dfrac{\\text{Total assets} - \\text{Total liabilities}}{\\text{Shares outstanding}}$$How to Use
- Enter the total assets.
- Enter the total liabilities.
- Enter the shares outstanding.
- Read the NAV per share.
FAQ
What is NAV per share and why does it matter?
NAV per share is the fund's net asset value (total assets minus total liabilities) divided by its shares outstanding. It represents the underlying value of each unit, so investors use it as a reference price for buying or redeeming fund shares. For an open-ended fund, subscriptions and redemptions are normally struck at the NAV per share (often plus or minus a small fee), which is why it is the single most-watched figure for mutual funds and unit trusts.
Why does the market price differ from NAV per share?
NAV per share reflects the value of the underlying assets, while the market price is set by supply and demand for the listed shares. A closed-end fund or a listed trust can trade at a premium (price above NAV) or a discount (price below NAV) depending on sentiment, liquidity, and expectations about the manager. Exchange-traded funds are usually kept close to NAV by authorised participants through creation and redemption, but temporary gaps can still appear.
What belongs in 'total assets' and 'total liabilities'?
Total assets should include everything the fund or company owns at fair value: cash, receivables, investments, property and other holdings. Total liabilities cover everything owed: borrowings, payables, accrued expenses and any preferred obligations. Because NAV equals assets minus liabilities, only subtracting debt gives a true picture of the equity attributable to ordinary shareholders or unit holders.
Does NAV per share tell me my investment return?
Not by itself. NAV per share is a level, not a return. Your return comes from the change in NAV per share over time plus any distributions (dividends or income payouts). Comparing the entry and exit NAV, and reinvesting or accounting for payouts, gives the total return. A rising NAV is encouraging, but fees, taxes and timing also affect what you actually keep.
Is a higher NAV per share always better?
No. A higher NAV per share does not mean a 'better' or 'more expensive' fund, because the figure depends on how many shares are outstanding and the accounting basis, not on quality. What matters is the growth of NAV per share and the total return you earn, compared with peers and benchmarks. Two funds with very different NAV per share can deliver similar returns if their underlying portfolios perform alike.
References
Content review: Calculatorism Finance Team. Results are for reference only; please refer to the relevant authorities for the official figures.