A year ago, the Very Large Growth Fund was being quoted at an NAV of $21.18and an offer price of $22.53. Today, it's being quoted at $23.39 (NAV) and $24.88 (offer). What is the holding period return on this load fund, given that it was purchased a year ago and that its dividends and capital gains distributions over the year have totaled $0.97 per share? Assume that none of the dividends and capital gains distributions are reinvested into the fund. (Hint: You, as an investor, buy fund shares at the offer price and sell at the NAV.)
A year ago, the Very Large Growth Fund was being quoted at an NAV of $21.18and an offer price of $22.53. Today, it's being quoted at $23.39 (NAV) and $24.88 (offer). What is the holding period return on this load fund, given that it was purchased a year ago and that its dividends and capital gains distributions over the year have totaled $0.97 per share? Assume that none of the dividends and capital gains distributions are reinvested into the fund. (Hint: You, as an investor, buy fund shares at the offer price and sell at the NAV.)
Pfin (with Mindtap, 1 Term Printed Access Card) (mindtap Course List)
7th Edition
ISBN:9780357033609
Author:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk
Publisher:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk
Chapter13: Investing In Mutual Funds, Etfs, And Real Estate
Section: Chapter Questions
Problem 8FPE
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A year ago, the Very Large Growth Fund was being quoted at an NAV of $21.18and an offer price of $22.53.
Today, it's being quoted at $23.39 (NAV) and $24.88 (offer). What is the holding period return on this load fund, given that it was purchased a year ago and that its dividends andcapital gains distributions over the year have totaled $0.97 per share? Assume that none of the dividends and capital gains distributions are reinvested into the fund. (Hint:
You, as an investor, buy fund shares at the offer price and sell at the NAV.)
Today, it's being quoted at $23.39 (NAV) and $24.88 (offer). What is the holding period return on this load fund, given that it was purchased a year ago and that its dividends and
You, as an investor, buy fund shares at the offer price and sell at the NAV.)
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