Asset Valuation: The underlying assets' performance dictates the fund's price. Stocks, bonds, or other investments' market value directly impacts the fund's Net Asset Value (NAV). Market Sentiment: Overall investor confidence and economic outlook influence fund demand. Positive sentiment increases demand, pushing prices up, while negative sentiment lowers prices. Interest Rates: Rising interest rates can decrease the attractiveness of bond-heavy funds, potentially lowering their price. Conversely, falling rates can increase demand and price. Currency Fluctuations: For funds holding international assets, exchange rate changes impact returns. A stronger GBP boosts returns when converting foreign currency gains, and vice versa. Fund Expenses: Management fees, operating costs, and other expenses reduce the fund's returns. Higher expense ratios can negatively affect the fund's price over time. Supply and Demand: Increased buying pressure drives prices up, while increased selling pressure forces prices down. Investor appetite for the specific fund plays a crucial role. Economic Indicators: Key economic data like inflation, GDP growth, and unemployment rates influence investor sentiment and market performance, thus affecting fund prices.