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ETF Premium Discount Calculator

Work out etf premium discount instantly with clear inputs, formula shown and shareable results.

About ETF Premium Discount Calculator

An ETF trades at whatever the market will pay, which can drift from the value of its underlying holdings. Buying at a premium means paying more than the assets are worth, and that gap is money lost the moment the premium closes.

Formula

Premium or discount

Premium % = (market price - NAV) / NAV × 100

Worked example

With the default values below, ETF Premium Discount Calculator returns Premium Or Discount To NAV of 2.7778%. Change any input above and every figure here is recalculated in your browser.

Inputs used

ETF Market Priceminimum 0
51.8
Net Asset Value Per Unitminimum 0
50.4
Amount You Are Investingminimum 0
200,000

Results

Premium Or Discount To NAV
2.7778%
Gap Per Unit
$1.4000
Amount Of Your Investment Paid As Premium
$5,405.41
Status
Trading at a premium to NAV

Step by step

  1. 1Values used
  2. 2Premium or discount
  3. 3Premium Or Discount To NAV= 2.7778
  4. 4Gap Per Unit= 1.4000
  5. 5Amount Of Your Investment Paid As Premium= 5,405.41
  6. 6Status= Trading at a premium to NAV

Assumptions and limits

  • The result is derived only from the 3 inputs listed above. Anything not among them is not part of the calculation.
  • In particular, this calculator does not take inflation, tax, fees or charges or compounding frequency into account.
  • Figures are rounded for display to 4 decimal places, so totals built from several rounded parts can differ slightly from the unrounded arithmetic.
  • Figures are estimates for planning only. Market returns are not guaranteed, and rates, limits and tax rules change. This is not financial or tax advice — speak to a qualified adviser before acting.
  • This is an estimate for general information and not professional financial, tax or legal advice. See the full disclaimer for the limits that apply to this kind of calculator.

How these calculators are built and tested is described on the Methodology page. If a figure looks wrong, please report it.

Figures are estimates for planning only. Market returns are not guaranteed, and rates, limits and tax rules change. This is not financial or tax advice — speak to a qualified adviser before acting.

Frequently Asked Questions

Why do premiums arise?

When creation of new units is slow or the underlying market is closed or illiquid, price and NAV can diverge.

How can a premium be avoided?

Use limit orders, trade when the underlying market is open, and check the indicative NAV before dealing.

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