NAV considered for units allocations

[NitishKumar]

When we invest a lump sum amount in a mutual fund generally it takes couple of days to allocate units for mutual funds, so which NAV value it will consider for our investment, either NAV value of the day when we have initiated lumpsum or NAV value of the day when units are allocated.

I heard
1)Some mutual fund companies use the NAV of the day on which they receive your lump sum investment.
2)In other cases, mutual fund companies may use the NAV of the day when the units are allocated to you.

For an instance, today (5-Aug-2024) market is down, since NAV value would reflect/show down in the next day, i thought we can perform lump sum in MF on the next day.
So as per above 1 and 2 scenarios, how we may do lump sum and get maximum benefit of the market crash.

 

[zacobite]

When we invest a lump sum amount in a mutual fund generally it takes couple of days to allocate units for mutual funds, so which NAV value it will consider for our investment, either NAV value of the day when we have initiated lumpsum or NAV value of the day when units are allocated.

I heard
1)Some mutual fund companies use the NAV of the day on which they receive your lump sum investment.
2)In other cases, mutual fund companies may use the NAV of the day when the units are allocated to you.

For an instance, today (5-Aug-2024) market is down, since NAV value would reflect/show down in the next day, i thought we can perform lump sum in MF on the next day.
So as per above 1 and 2 scenarios, how we may do lump sum and get maximum benefit of the market crash.

1 is true.. if day they receive is a holiday then nxt biz day.. units are allocated on the nav if day funds received ( there is a time cutoff though so may go to nxt day if funds received late)...send mf request in the morning for same day nav.. cutoff is usually around 1245-245.. but platforms may delay..

 

[NitishKumar]

@zacobite as you said "send mf request in the morning for same day nav.. cutoff is usually around 1245-245.. but platforms may delay.."
how i may send MF request, through any platform like groww app or directly in respective mutual fund official website ?
Could you share more details about the process of sending MF request for the same day.

 

[zacobite]

@zacobite as you said "send mf request in the morning for same day nav.. cutoff is usually around 1245-245.. but platforms may delay.."
how i may send MF request, through any platform like groww app or directly in respective mutual fund official website ?
Could you share more details about the process of sending MF request for the same day.

whichever platform you are using..groww/ indmoney / etmoney / your bank.. whatever platform you are using to buy mfs

 

[NitishKumar]

I am using groww app for my SIP

 

[zacobite]

I am using groww app for my SIP

yeah.. so it will have lumpsum. option

 

[NitishKumar]

Yes, i have lumpsum option in groww app, but i need MF request for same day NAV. Is it possible in groww or somewhere

 

[zacobite]

Yes, i have lumpsum option in groww app, but i need MF request for same day NAV. Is it possible in groww or somewhere

put in by 10 am u will get same day nav

 

[NitishKumar]

@zacobite much thanks for the info provided.

Also i am planning for
Mid Cap
1st Option : Kotak Emerging Equity Fund Direct Growth
or
2nd Option : Motilal Oswal Midcap Fund Direct Growth

Small cap
1st Option : SBI Small Cap Fund Direct Growth
or
2nd Option : Kotak Small Cap Fund Direct Growth

1)Need your suggestion on this for selecting one mid cap and one small cap fund
2)How about quant small, front-running issue is going on right, can we still consider Quant small and flexi cap funds for starting new SIP.

 

[saurabh.s]

Yes, i have lumpsum option in groww app, but i need MF request for same day NAV. Is it possible in groww or somewhere

The cut-off time is 2pm on Groww app. So, if you make your transaction before 2pm you'll get same day NAV.

 

[The INSANE Trader]

@zacobite much thanks for the info provided.

Also i am planning for
Mid Cap
1st Option : Kotak Emerging Equity Fund Direct Growth
or
2nd Option : Motilal Oswal Midcap Fund Direct Growth

Small cap
1st Option : SBI Small Cap Fund Direct Growth
or
2nd Option : Kotak Small Cap Fund Direct Growth

1)Need your suggestion on this for selecting one mid cap and one small cap fund
2)How about quant small, front-running issue is going on right, can we still consider Quant small and flexi cap funds for starting new SIP.

Motilal Oswal will be a good option in case of mid cap and Kotak small cap will be a good option too.
I am an investor in Quant Small cap since 2022 its performance is great till date if somebody wants to take risks they can prefer no issues. Just keep in mind investing is capital market is risky and the running investigation on Quant adds little more risk to your investment. If someone have little higher risk capacity they can.

 

[NitishKumar]

@zacobite @saurabh.s @The INSANE Trader Thank you