Net asset value

(redirected from Carrying Amount)
Also found in: Dictionary.
Related to Carrying Amount: book value, Fair value

Net asset value (NAV)

The value of a fund's investments. For a mutual fund, the net asset value per share usually represents the fund's market price, subject to a possible sales or redemption charge. For a closed-end fund, the market price may vary significantly from the net asset value.

Net Asset Value

In stocks and businesses, an expression of the underlying value of the company. That is, it is a statement of the value of the company's assets minus the value of its liabilities. One way of thinking about the net asset value is that it is the underlying value of a company, not the value dictated by the supply and demand of shares or its market capitalization. It is also called the book value.

Net asset value (NAV).

The NAV is the dollar value of one share of a fund. It's calculated by totaling the value of all the fund's holdings plus money awaiting investment, subtracting operating expenses, and dividing by the number of outstanding shares.

A fund's NAV changes regularly, though day-to-day variations are usually small.

The NAV is the price per share an open-end mutual fund pays when you redeem, or sell back, your shares. With no-load mutual funds, the NAV and the offering price, or what you pay to buy a share, are the same. With front-load funds, the offering price is the sum of the NAV and the sales charge per share and is sometimes known as the maximum offering price (MOP).

The NAV of an exchange traded fund (ETF) or a closed-end mutual fund may be higher or lower than the market price of a share of the fund. With an ETF, though, the difference is usually quite small because of a unique mechanism that allows institutional investors to buy or redeem large blocks of shares at the NAV with in-kind baskets of the fund's stocks.

net asset value

the asset value of a company to its ordinary shareholders. This consists of the BALANCE SHEET value of total assets (FIXED ASSETS plus CURRENT ASSETS) LESS CURRENT LIABILITIES, DEBENTURES, LOAN STOCK and PREFERENCE SHARES. These net assets can be divided by the number of ordinary shares to indicate the net asset value per share.
References in periodicals archive ?
A description of asset to be disposed of, the facts and circumstances leading to the expected disposal, the expected disposal date, and the carrying amount of those asset.
Conversely, CMO residuals and CMO classes are accounted for under a method which, unlike the Consolidation Method, requires the carrying amount of, and the earnings and cash flows from, such portfolio assets to be recorded as a single-line item on each of the respective Consolidated Financial Statements.
The Board says, if disclosure isn't practicable, you have to provide information about the carrying amount and the interest-rate sensitivity and maturity, plus you need to explain why you believe disclosing the market value is not practicable in your case.
Notes payable to banks: The carrying amounts of the company's borrowings under its short-term credit agreements approximate their fair value.
Consequently, the carrying amount of the investment in Alstom reported in the consolidated balance sheet as of 31 December 2013 will be reduced to 3,079 million.
Based on the analysis performed, Qimonda concluded that the carrying amount of its pre-existing goodwill is impaired and determined that all of its tangible and remaining intangible assets are not impaired.
These losses substantially were due to write-downs to the carrying amount of 12 CMO residual interests for GAAP accounting of $3,657,000 (26 cents per share) and $4,017,000 (29 cents per share) during the three and six months ended June 30, 1992, respectively.
The result was the December 1990 FASB Discussion Memorandum, Accounting for &e Impairment of Long-Lived Assets and Identifiable Intangibles, which defined impairment as the inability to recover fully the carrying amount of assets over their estimated useful lives.
If events or circumstances indicate the carrying amount of an asset to be held and used may not be recoverable, management should test for impairment by estimating future cash flows from its use and eventual disposal.
It is expected that an adjustment will be made to the 1990 statements, resulting in an increase in net loss and a corresponding decrease in total shareholders' equity of approximately $230,000, along with a corresponding reduction in the carrying amount of the investment in the affiliate.
The Company reduced the carrying amount of the Note by $3,034,100 to reflect the collateralized amount.
Any excess of the carrying amount of the investment over its estimated residual value (calculated at the end of the last period in which tax credits are allocated to the investor without reflecting anticipated inflation) should be amortized during the periods in which tax credits are allocated to the investor.