Innovator

Innovator receives a Below Average Parent rating. The Parent Pillar assessment is based on a structured evaluation of key factors that influence a firm's ability to support strong investment outcomes. This assessment integrates quantitative measures of investment cost, risk-adjusted performance, manager retention, and fund obsolescence.

Cost

A firm's cost profile is assessed by analyzing the average monthly fee rank of its funds relative to their Morningstar category peers. This metric provides insight into the firm's approach to pricing its investment solutions and highlights the potential implications for investor outcomes. The firm ranks in the second-lowest segment of its peer group, reflecting a moderately competitive pricing approach that provides a modest advantage relative to higher-cost peers.

Investment Success

The firm's record of supporting successful funds is evaluated using the Risk-Adjusted Success Ratio across the trailing three-, five-, and 10-year periods, where available. This measure captures the proportion of a firm's funds that have both survived and outperformed their category median on a risk-adjusted basis. Higher success ratios reflect stronger survivorship and competitive performance, while weaker success ratios suggest elevated fund obsolescence and less consistent results. The firm's success ratios rank within the lower tier over three and five years. The firm's 10-year success ratio is not available.

Manager Tenure & Retention

Average longest manager tenure and the five-year manager retention rate are used as indicators of how effectively a firm retains investment talent and maintains portfolio-management team stability. Longer tenures and higher retention generally suggest stronger continuity and better succession planning, while shorter tenures or lower retention can point to elevated turnover. Firms positioned in the upper segment of the peer distribution receive a positive adjustment, those in the lower segment receive a negative adjustment, and midrange firms receive no adjustment. As the firm's average longest manager tenure falls within the shorter-tenure segment, a downward adjustment has been applied. The firm's average annual retention rate over the past five years is positioned in the lower range of the peer distribution, supporting a negative adjustment.

Product Management & Fund Obsolescence

A firm's average annual obsolete rate over the past five years, which measures the proportion of funds merged or liquidated each year and averaged across the period, provides an indication of the rigor behind a firm's approach to product development. It also serves as a supporting factor in the evaluation of the Parent Pillar. Firms should introduce funds that have enduring investment merit, that can be managed well by the firm, and that are attractive to investors over the long term. When a firm's obsolete rate is in the high range, a downward adjustment is applied to its Parent Pillar score; when the obsolete rate is in the low range, an upward adjustment occurs. The firm's average annual obsolete rate over the past five years is in the upper range, indicating above-average fund turnover and raising concerns about the durability of its product lineup. A negative adjustment is applied based on this data.