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NISM Series V-D · Chapter 7: NAV, Total Expense Ratio and Pricing of Units

NAV, कुल व्यय अनुपात एवं यूनिट मूल्य निर्धारण · NISM-Series-V-D: Mutual Fund – Specialized Investment Fund (SIF) Distributors Certification Examination

5% weightage · ~8 questions 150 questions · 180 minutes · 60% to pass · −0.10 per wrong answer 24 practice questions in our bank

What this chapter covers

The arithmetic chapter: how NAV is computed, what goes into the Total Expense Ratio and its SEBI caps, mark-to-market valuation, and how purchase and redemption prices are set including exit loads and cut-off timing.

NAV की गणना, कुल व्यय अनुपात (TER) की सीमाएँ, यूनिट का मूल्य-निर्धारण और कट-ऑफ समय।

What to master before the exam

Exam tip: Numerical questions live here: NAV, TER impact, redemption proceeds after exit load. Use the formula sheet, then drill the chapter until each takes under a minute.

Sample questions from this chapter

Five of the 24 questions in our free bank. Open the answer to see the explanation — every question in the mock test has one, in English and Hindi.

Question 1
The Net Asset Value (NAV) per unit of a scheme is:
किसी योजना की प्रति यूनिट नेट एसेट वैल्यू (NAV) क्या है?
  1. (Market value of assets − liabilities) ÷ number of units outstanding(एसेट का बाज़ार मूल्य − देनदारियाँ) ÷ बकाया यूनिटों की संख्या
  2. Total assets × number of unitsकुल एसेट × यूनिटों की संख्या
  3. The face value of the unitयूनिट का अंकित मूल्य
  4. The purchase price plus exit loadखरीद मूल्य जमा एग्ज़िट लोड
Show answer & explanation
Answer: A — (Market value of assets − liabilities) ÷ number of units outstanding
NAV per unit = (market value of the scheme’s assets minus its liabilities) divided by the number of units outstanding.
प्रति यूनिट NAV = (योजना की एसेट का बाज़ार मूल्य घटाकर देनदारियाँ) ÷ बकाया यूनिटों की संख्या।
Question 2
Since schemes cannot charge an entry load, the sale (purchase) price of a unit is:
चूँकि योजनाएँ एंट्री लोड नहीं ले सकतीं, यूनिट का विक्रय (खरीद) मूल्य क्या होता है?
  1. Equal to the NAVNAV के बराबर
  2. NAV plus 1%NAV जमा 1%
  3. NAV minus 1%NAV घटा 1%
  4. The face valueअंकित मूल्य
Show answer & explanation
Answer: A — Equal to the NAV
With entry loads banned, the sale price equals the NAV. So ₹25,000 into a ₹43.21 NAV buys 25000 ÷ 43.21 = 578.570 units.
एंट्री लोड प्रतिबंधित होने से विक्रय मूल्य NAV के बराबर होता है। इसलिए ₹43.21 NAV में ₹25,000 से 25000 ÷ 43.21 = 578.570 यूनिट मिलती हैं।
Question 3
A scheme has an NAV of ₹11 and charges a 1% exit load. The re-purchase (redemption) price is:
किसी योजना की NAV ₹11 है और वह 1% एग्ज़िट लोड लेती है। पुनर्खरीद (रिडेम्पशन) मूल्य क्या होगा?
  1. ₹10.89₹10.89
  2. ₹11.11₹11.11
  3. ₹10.00₹10.00
  4. ₹11.00₹11.00
Show answer & explanation
Answer: A — ₹10.89
Exit load lowers the redemption price below NAV: ₹11 − 1% of ₹11 = ₹11 − ₹0.11 = ₹10.89.
एग्ज़िट लोड रिडेम्पशन मूल्य को NAV से नीचे करता है: ₹11 − ₹11 का 1% = ₹11 − ₹0.11 = ₹10.89।
Question 4
Exit loads collected by a scheme must be:
किसी योजना द्वारा वसूला गया एग्ज़िट लोड किसे करना होता है?
  1. Credited back to the schemeवापस योजना में जमा
  2. Retained by the AMC for selling expensesबिक्री खर्च हेतु AMC द्वारा रखा जाना
  3. Paid to the distributorवितरक को भुगतान
  4. Paid to SEBISEBI को भुगतान
Show answer & explanation
Answer: A — Credited back to the scheme
Exit loads must be credited back to the scheme immediately; they are not available to the AMC to bear selling expenses.
एग्ज़िट लोड तुरंत वापस योजना में जमा करना होता है; यह AMC के पास बिक्री खर्च वहन करने हेतु उपलब्ध नहीं होता।
Question 5
On which of the following is NO exit load charged?
निम्नलिखित में से किस पर एग्ज़िट लोड नहीं लगता?
  1. Bonus units and units allotted on reinvestment of dividendबोनस यूनिट और लाभांश पुनर्निवेश पर आवंटित यूनिट
  2. All redemptions within one yearएक वर्ष के भीतर सभी रिडेम्पशन
  3. SIP instalmentsSIP किस्तें
  4. Switch-insस्विच-इन
Show answer & explanation
Answer: A — Bonus units and units allotted on reinvestment of dividend
No exit load is charged on bonus units or on units allotted on reinvestment of dividend (IDCW).
बोनस यूनिटों या लाभांश (IDCW) पुनर्निवेश पर आवंटित यूनिटों पर एग्ज़िट लोड नहीं लगता।
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All V-D chapters

1. Investment Landscape · 5%2. Concept and Role of a Mutual Fund · 4%3. Legal Structure of Mutual Funds in India · 3%4. Legal and Regulatory Framework · 7%5. Scheme Related Information · 7%6. Fund Distribution and Channel Management · 4%7. NAV, Total Expense Ratio and Pricing of Units · 5%8. Taxation · 3%9. Investor Services · 10%10. Risk, Return and Performance of Funds · 5%11. Mutual Fund Scheme Performance · 5%12. Mutual Fund Scheme Selection · 10%13. Basics of Derivatives · 10%14. Understanding the Index · 5%15. Introduction to Forwards and Futures · 15%16. Introduction to Options · 13%17. Strategies using Equity Futures and Options · 9%18. Interest Rate, Instruments and Fixed Income · 6%19. Interest Rate Derivatives · 2%20. Exchange Traded Interest Rate Futures · 10%21. Exchange Traded Interest Rate Options · 6%22. Strategies using Interest Rate Derivatives · 6%
← Chapter 6: Fund Distribution and Channel Management Chapter 8: Taxation →

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