Morningstar Will Enhance Medalist Rating Methodology for Improved Investment Insights
Morningstar (Nasdaq: MORN) announced plans to enhance its Morningstar Medalist Rating™ methodology, aiming to provide more comprehensive and forward-looking investment insights. The updated approach will incorporate quantitative and qualitative factors, including a new Morningstar Quantitative Rating and an expanded People Pillar assessment. These changes are set to be implemented in Q4 2023, affecting approximately 4,500 fund share classes globally.
The enhancements will result in a more holistic evaluation of investment strategies, considering factors such as fees, process, people, parent organization, and performance. Morningstar aims to increase coverage and provide more timely updates to ratings, ultimately benefiting investors with improved decision-making tools.
Morningstar (Nasdaq: MORN) ha annunciato piani per migliorare la sua metodologia di Morningstar Medalist Rating™, con l'obiettivo di fornire approfondimenti sugli investimenti più completi e orientati al futuro. L'approccio aggiornato incorporerà fattori quantitativi e qualitativi, inclusa una nuova Valutazione Quantitativa Morningstar e un ampliato Piller delle Persone. Questi cambiamenti saranno implementati nel Q4 2023, interessando circa 4.500 classi di azioni fondi a livello globale.
I miglioramenti porteranno a una valutazione più olistica delle strategie di investimento, considerando fattori come commissioni, processi, persone, organizzazione madre e performance. Morningstar punta ad aumentare la copertura e fornire aggiornamenti più tempestivi alle valutazioni, beneficiando così gli investitori con strumenti decisionali migliorati.
Morningstar (Nasdaq: MORN) anunció planes para mejorar su metodología de Morningstar Medalist Rating™, con el objetivo de proporcionar perspectivas de inversión más completas y orientadas hacia el futuro. El enfoque actualizado incorporará factores cuantitativos y cualitativos, incluyendo una nueva Calificación Cuantitativa de Morningstar y una evaluación ampliada del Pilar de Personas. Estos cambios se implementarán en el Q4 2023, afectando aproximadamente a 4.500 clases de acciones de fondos a nivel mundial.
Las mejoras darán lugar a una evaluación más holística de las estrategias de inversión, teniendo en cuenta factores como comisiones, procesos, personas, organización matriz y rendimiento. Morningstar busca aumentar la cobertura y proporcionar actualizaciones más oportunas a las calificaciones, beneficiando finalmente a los inversores con herramientas de toma de decisiones mejoradas.
모닝스타 (Nasdaq: MORN)은 모닝스타 메달리스트 등급™ 방법론을 개선할 계획을 발표했습니다. 이는 보다 포괄적이고 미래 지향적인 투자 통찰력을 제공하기 위한 것입니다. 업데이트된 접근법은 정량적 및 정성적 요소를 포함하여 새로운 모닝스타 정량 등급과 확장된 인력 기둥 평가를 통합할 것입니다. 이러한 변화는 2023년 4분기에 시행될 예정이며, 전 세계적으로 약 4,500개의 펀드 주식 클래스에 영향을 미칠 것입니다.
이러한 개선은 투자 전략에 대한 보다 포괄적인 평가를 가져오며, 수수료, 프로세스, 인력, 모회사 및 성과와 같은 요소를 고려합니다. 모닝스타는 보급 범위를 늘리고 등급에 대한 보다 시기적절한 업데이트를 제공하여 궁극적으로 투자자들에게 개선된 의사 결정 도구를 제공하고자 합니다.
Morningstar (Nasdaq: MORN) a annoncé des plans pour améliorer sa méthodologie de Notation Morningstar Medalist™, visant à fournir des perspectives d'investissement plus complètes et tournées vers l'avenir. L'approche mise à jour incorporera des facteurs quantitatifs et qualitatifs, y compris une nouvelle Notation Quantitative Morningstar et une évaluation élargie du Pilier des Personnes. Ces changements devraient être mis en œuvre au Q4 2023, touchant environ 4 500 classes d'actions de fonds à l'échelle mondiale.
Les améliorations aboutiront à une évaluation plus holistique des stratégies d'investissement, prenant en compte des éléments tels que frais, processus, personnes, organisation mère et performance. Morningstar vise à élargir sa couverture et à fournir des mises à jour plus opportunes des notations, bénéficiant ainsi aux investisseurs avec des outils de prise de décision améliorés.
Morningstar (Nasdaq: MORN) hat Pläne angekündigt, ihre Methodik der Morningstar Medalist Bewertung™ zu verbessern, um umfassendere und zukunftsorientierte Anlageeinsichten zu bieten. Der aktualisierte Ansatz wird quantitative und qualitative Faktoren einbeziehen, einschließlich einer neuen Morningstar Quantitativen Bewertung und einer erweiterten People Pillar Bewertung. Diese Änderungen sollen im Q4 2023 umgesetzt werden und betreffen weltweit etwa 4.500 Fondsanteilsklassen.
Die Verbesserungen führen zu einer ganzheitlicheren Bewertung von Anlage-Strategien, wobei Faktoren wie Gebühren, Prozesse, Personen, Muttergesellschaft und Leistung berücksichtigt werden. Morningstar strebt an, die Abdeckung zu erhöhen und zeitnahere Updates zu den Bewertungen bereitzustellen, was letztlich den Investoren zugutekommen soll, indem sie verbesserte Entscheidungshilfen erhalten.
- Enhancement of Morningstar Medalist Rating™ methodology to provide more comprehensive insights
- Introduction of new Morningstar Quantitative Rating for expanded coverage
- Expansion of People Pillar assessment to include more factors
- Increased coverage and more timely updates to ratings
- Potential for improved investor decision-making tools
- None.
The Morningstar Medalist Rating is a five-tier system designed to evaluate an investment strategy's potential to outperform a relevant index or peer group over the long term. Ratings are assigned on a scale from Gold to Negative based on an evaluation of how much value a managed investment can add compared to its assigned benchmark after fees and three pillars—People, Process, and Parent—that determine Morningstar’s conviction in a particular investment strategy.
The enhancement, which will begin to take effect on Oct. 29, 2024, refines Morningstar's framework for forecasting future returns but maintains the same process for assigning ratings. Using historical data, the updated framework introduces a more precise assessment of how much value a managed investment can add before fees compared to its assigned benchmark. This is called the Alpha Potential Estimate, and it is an important input into the Medalist Rating framework. Morningstar expects the updated methodology to change the ratings for about
“There are a wide range of investment products available today, and Morningstar's ratings serve to guide investors toward informed decisions," said Jeff Ptak, chief ratings officer at Morningstar. "Our Medalist Rating has done a good job of sorting funds based on future performance, and this methodology enhancement is an opportunity to build on this strength to further empower investors.”
Morningstar is also refining the algorithm that evaluates the Process pillar of passively managed equity vehicles that are not covered by an analyst. The updated approach will employ a rules-based system that more closely aligns with how Morningstar’s Manager Research analysts evaluate the Process pillar of the ratings for these types of investments.
For additional details, an FAQ is available here.
About Morningstar, Inc.
Morningstar, Inc. is a leading provider of independent investment insights in
Morningstar’s Manager Research Group
Morningstar’s Manager Research Group consists of various wholly owned subsidiaries of Morningstar, Inc. including, but not limited to, Morningstar Research Services LLC. Morningstar Manager Research provides independent, fundamental analysis on managed investment strategies. Morningstar views are expressed in the form of Morningstar Medalist Ratings, which are derived through research of three key pillars—People, Process, and Parent. The Morningstar Medalist Rating is the summary expression of Morningstar’s forward-looking analysis of investment strategies as offered via specific vehicles using a rating scale of Gold, Silver, Bronze, Neutral, and Negative. A global research team issues detailed research reports on strategies that span vehicle, asset class, and geography. Medalist Ratings are not statements of fact, nor are they credit or risk ratings, and should not be used as the sole basis for investment decisions. A Medalist Rating is not intended to be nor is a guarantee of future performance. This press release is for informational purposes only; references to securities should not be considered an offer or solicitation to buy or sell the securities.
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Source: Morningstar, Inc.
FAQ
When will Morningstar (MORN) implement the enhanced Medalist Rating methodology?
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What new factors will Morningstar (MORN) incorporate in its enhanced Medalist Rating?
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