What is the NAVPU used for when a client participates after the cut-off time?

The Net Asset Value Per Unit (NAVPU) is a critical metric in the context of Unit Investment Trust Funds (UITFs), as it represents the value of each unit within the fund at a given time. When a client participates in a UITF after the cut-off time, the relevant NAVPU that will apply to their transaction is the end-of-day NAVPU for the following trading day.

This is because transactions initiated after the cut-off time are processed on the next business day. As a result, the NAVPU that will be used for the calculation of units purchased will reflect the fund’s value as of the end of that next trading day. Therefore, it ensures that investors are using a consistent and updated valuation of the fund to understand the worth of their investment.

This timing is crucial for maintaining the fairness and transparency of the fund's operations, as it prevents changes in the fund's value within a single trading day from impacting late transactions. Thus, the correct NAVPU in this scenario is indeed the end-of-day NAVPU for tomorrow, corresponding to how transactions are scheduled and settled within the UITF framework.