Multiple choice

NAVs of equity funds are not affected by

  1. Events affecting the industry/sector in which the fund has invested

  2. Happenings in the companies in which the fund has invested

  3. Real estate prices

  4. Stock market movements

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Equity fund NAVs fluctuate based on stock market movements, industry/sector events affecting their holdings, and company-specific developments. Real estate prices operate in an entirely separate asset class and do not directly influence the performance or valuation of equity mutual funds.