Issuer Initiated Ratings

The Morningstar Medalist Rating for funds is the summary expression of our forward-looking analysis of investment strategies. The Medalist Rating is expressed on a five-tier scale running from Gold to Negative, with Gold, Silver and Bronze ratings indicating that analysts expect that particular investment vehicle to outperform its Morningstar Category average over the full investment cycle.

To arrive at a Medalist Rating, Morningstar analysts assess three fundamental pillars to determine whether outperformance is likely: People, Process, and Parent.

The People Pillar encompasses the managers and analysts making a fund’s key investment decisions. The Process Pillar considers the effectiveness and repeatability of its investment strategy, while the Parent Pillar is an analysis of the offering firm and whether it puts fund investors’ interests before its own.

Morningstar combines its assessment of a fund’s fundamental pillars with an evaluation of its price to determine the fund’s likelihood of outperforming category peers, expressed through Gold, Silver, Bronze, Neutral or Negative ratings.

To learn more about our methodology and any other information relevant to our Australian and New Zealand-based wholesales clients, please visit our Medalist Ratings microsite.