Variable net asset value: Difference between revisions
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imported>Doug Williamson (Create the page to align with ACT CertICM Chapter 12, p12.30, October 2014 course, and IMMFA Insights 2013 http://www.immfa.org/assets/files/publications/IMMFA%20Insights%20-%20Comparing%20CNAV%20and%20VNAV%20funds%202013%20Update.pdf.) |
imported>Doug Williamson (Add Floating Net Asset Value alternative name. Source: John Grout's blog 28 July 2014: 'US money fund rules...' http://www.treasurers.org/node/10339) |
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This method of accounting is contrasted with using an amortised cost basis of accounting for all of the investments, which is what Constant net asset value (CNAV) funds do. | This method of accounting is contrasted with using an amortised cost basis of accounting for all of the investments, which is what Constant net asset value (CNAV) funds do. | ||
Also sometimes known as 'FNAV', Floating Net Asset Value. | |||
Revision as of 17:08, 22 August 2014
(VNAV).
A variable net asset value per share money market fund.
A money market fund which uses a mark to market basis to value some of its underlying portfolio of money market instruments.
This results in a degree of variability in the investment values calculated and reported, as the market values of the underlying investments change.
This method of accounting is contrasted with using an amortised cost basis of accounting for all of the investments, which is what Constant net asset value (CNAV) funds do.
Also sometimes known as 'FNAV', Floating Net Asset Value.
