What does GAV mean in BUSINESS

Gross Asset Value (GAV) is the total market value of all the securities held in a portfolio or fund. It includes cash, equities, bonds and other investments that are found in the account or fund.

The gross asset value of a portfolio can be calculated by adding up the current value of all investments it holds at a particular given time. This calculation will include cash holdings as well as securities such as stocks, bonds, commodities and derivatives.

Gross Asset Value includes any type of investment held within the portfolio, including equities, bonds, cash and derivatives. Additionally, anything that generates income such as rental properties or dividend-paying stocks might also be included when calculating GAV.

While both measure the worth of a portfolio, there are some significant differences between gross and net asset values. Net asset value factors in liabilities associated with assets and subtracts these accordingly to calculate its figure. Whereas gross asset value does not take into account any liabilities associated with assets; it only considers their current market prices when calculating its figure.

Knowing your gross asset value can provide you with comprehensive insight into how much your portfolio is worth at any given time, both initially and over time since individual investments may decrease or increase in value depending on market trends or circumstances surrounding them respectively. It can also help you keep track of how much money you've made since investing by comparing initial GAV figures to those taken at subsequent times after investing has occurred over a period of time.