Fees on the firm's open-end and exchange-traded funds are a weakness, contributing negatively to the rating and creating a larger performance hurdle on funds. On average, Chesapeake charges fees on its funds that are in the most expensive quintile of similarly distributed funds. With the current market environment of fee compression, this is cause for concern, as investors may flock over time to alternate asset managers to get a better deal. Experienced longest-tenured management is a core advantage that Chesapeake has over peer firms. With 26 years of average tenure across the group, it is clear that they've been put through their paces. Chesapeake has exhibited a reliable and stable portfolio management culture over the past five years, as evidenced by lower-than-average turnover, strengthening the assessment of the firm's stewardship.
Chesapeake lags peer asset managers in a number of stewardship qualities, resulting in a Below Average Parent Pillar rating.