Evolutionary Tree

A cause for concern at Evolutionary Tree is its inexperienced longest-tenured managers. In particular, the cohort has only three years of average asset-weighted tenure, negatively contributing to the rating. Open-end and exchange-traded fund fees are a weakness at the firm, contributing negatively to the rating. On average, the firm charges fees on its funds that are in the second most-expensive quintile of category peers. With the current market environment of fee compression, this is cause for concern, as investors may flock to alternate asset managers over time to get a better deal. The firm's stable portfolio management since the firm's inception, indicated by a higher-than-average retention ratio, positively impacts its rating.