Calculation of entry and exit loads? Is it on NAV or the amount invested?



Q1. Suppose I invest Rs. 10,000 with an entry load of 1% and exit load of 2% in XXXX mutual fund.
The entry load and the exit load will be calculated on the NAV of the fund OR on Rs. 10,000 which I invested?

Q2. What if it is a NFO ( New Fund Offer)? How will be the loads calculated?

Examples would be appreciated !!!!!!

Calculation of entry and exit loads? Is it on NAV or the amount invested?
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One Reply to “Calculation of entry and exit loads? Is it on NAV or the amount invested?”

  1. Entry load and exit loads are always calculated on NAV and not on the amount you invest. But then entry load is almost equal to on your investment amount because you will be getting units @ NAV by investing your amount.

    When funds start new unit schemes, they are called as NFO. Here the entry load is on investment amount and exit will be on NAV.





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