Net asset value (NAV) total return

What is NAV Total Return?

NAV Total Return is a percentage measure reflecting the total performance of a fund, incorporating both capital gains and the effect of dividends reinvested over a specific period.

How is NAV total return calculated?

The NAV Total Return is calculated using the following formula:

NAV Total Return =(Adjusted NAV at the end of period − Adjusted NAV at the start of period) /Adjusted NAV at the start of period × 100

Components:

Adjusted NAV at the end of period: The adjusted daily Net Asset Value of the fund on the day for which the return is being calculated, including distributions reinvested.

Adjusted NAV at the start of period: The adjusted daily Net Asset Value of the fund at the beginning of the chosen timeframe, including distributions reinvested.

The periods over which the return is calculated can be:

• 1M (1 month)
• 3M (3 months)
• YTD (Year-To-Date)
• 1Y (1 year)
• 3Y (3 year)
• 5Y (5 year)

Why is NAV total return important?

NAV Total Return offers a comprehensive view of fund performance, emphasizing reinvested dividends' impact on long-term growth. A fund with a higher NAV Total Return might outperform another, not through capital appreciation but due to a superior dividend strategy. This highlights the significance of both income generation and price changes in assessing fund growth.