i track the NAV for CEF's because it shows you how the mgmt is doing with their bucket of money. if the CEF is an equity fund and the NAV is underperforming the S&P 500, i start to think about selling.
and i agree with the post that says the fund price will revert back to the NAV at some point. it could be a year or more but every CEF i've owned has done this. however, it is usually not for a very long time (maybe a month) so those who can hold through it should be okay eventually.
i've sold all me CEF's at this point. i think we are at a point where individual stocks are going to be a better strategy ("stock pickers market"). for most of this year, all you had to do was hit the buy button. didn't really matter what you bought, just mattered when you bought.
to make sure i don't get blown out, i use puts or just buy short term in the money calls.