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Average assets

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MF industry's average assets up 2.9% in April
Business Standard  May 4  Comment 
The domestic mutual fund industry registered 2.89 per cent rise in average assets under management (AAUM) in April as compared to March.




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Average assets, as the name suggests, is the average amount of assets held during a period. For practical purposes, it is calculated by taking the sum of assets at the beginning of a period and assets at the end of the period and then dividing the sum by 2.

  • Average Assets = (Asset in the beginning + Assets in the end)/2

Example

Company A had $100 million in Assets on 31st December 2007, and $200 million in Assets on 31st December 2008. Its Average Assets for the year were $150 million ((100+200)/2).

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