Net Asset Value is the value of each unit in the portfolio. For Mutual funds, it is the price at which investors buy shares from mutual fund company and sell them. There is formula for calculating the NAV
NAV = Total Asset Value - Total Liabilities
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Total no. of units
NAV is usually used by the media like newspapers etc to designate the price per share for any particular Mutual fund. Ofcourse one thing should always be kept in mind that low NAV does not
mean that you are getting a good fund cheaper and it is no indication of performance of Mutual funds. The performance of any Mutual fund should be measured in terms of returns they have given over a period of time.
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