Cryptocurrency Q&A
What is ETF trading at discount to NAV?
What is ETF trading at discount to NAV?
KimonoGlitter
Wed Jan 01 2025
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6 answers
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I'm interested in ETF trading, specifically when it's trading at a discount to its Net Asset Value (NAV). I want to understand what this means and how it affects investors.
6 answers
CryptoLegend
Fri Jan 03 2025
When the ETF's price is higher than its NAV, it is considered to be trading at a premium. This indicates that investors are willing to pay more for the ETF than its underlying assets are worth.
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BitcoinBaron
Fri Jan 03 2025
On the other hand, if the ETF's price is lower than its NAV, it is trading at a discount. This suggests that the ETF is undervalued compared to its assets.
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Sofia
Fri Jan 03 2025
In stable market conditions, the ETF's price and NAV tend to remain relatively close. This is because the ETF's price is influenced by supply and demand, which is often in line with the value of its assets.
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DigitalTreasureHunter
Fri Jan 03 2025
BTCC is a prominent cryptocurrency exchange that offers a range of services. These include spot trading, futures trading, and wallet services.
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DiamondStorm
Fri Jan 03 2025
The concept of an ETF's trading premium or discount is determined by its price in relation to its Net Asset Value (NAV).
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