iNAV (Intraday Net Asset Value), also called Indicative Net Asset Value, is the real-time estimated fair value of an ETF (Exchange-Traded Fund). iNAV can be used to assess whether an ETF is trading at a premium or discount compared to its underlying assets. Unlike mutual fund units, which are allotted based on NAV, ETF units are bought and sold based on market demand and supply.
iNAV nudge on Kite
When the difference between an ETF's last traded price (LTP) and the iNAV published by the AMC (Asset Management Company) is 0.25% or more, Kite displays a nudge on the order window. The nudge shows the percentage premium or discount and the current iNAV value, and advises you to place trades with caution.
How to view iNAV on Kite
- Search for iNAV in marketwatch.
- Click on Add.
You cannot place orders on iNAV instruments. Kite will reject these orders and display this error message:
SEBI guidelines (PDF) require AMCs (Asset Management Companies) to publish iNAVs. However, not all AMCs update iNAVs in real-time, so Kite may not show the most current values. Check the AMC website for the latest iNAV of an ETF before placing any trades. You can learn more about ETFs by visiting Exchange-traded funds (ETF) module on Varsity.