Ch.7 · Total Expense Ratio Limits · easy
What is the 'face value' of a mutual fund unit and how does it differ from NAV?
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EXPLANATION
Face value (typically ₹10) is the nominal denomination assigned to units at launch — it is an accounting concept, not a market value. NAV is the actual current per-unit market value of the scheme's net assets, which changes daily. A scheme launched at ₹10 face value may have a NAV of ₹150 after years of growth — the face value remains ₹10.
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