A mutual fund's shares are typically valued how often?

Mutual fund shares are typically valued daily because mutual funds are required to calculate their net asset value (NAV) at the end of each trading day. This process involves assessing the value of the underlying assets in the fund, such as stocks and bonds, based on their current market prices. By valuing shares daily, investors can know the price at which they can buy or sell shares, ensuring that all transactions are conducted at a fair market value reflecting the most recent information.

While some alternative investment vehicles may have less frequent valuation schedules, daily pricing is a common regulatory requirement for mutual funds. This daily valuation practice allows investors to react to market changes, ensuring transparency and liquidity in the mutual fund market.