The team managing SPDR SSgA Income Allocation ETF INKM eschews sound investment rationale in pursuit of a product that generates a high yield. This singular focus on income results in a risky portfolio that faces permanent headwinds from an asset-class mix that neglects total return. This drives a Morningstar Analyst Rating downgrade to Negative from Neutral.
Will INKM outperform in future?
Get our overall rating based on a fundamental assessment of the pillars below.
The Process Pillar is our assessment of how sensible, clearly defined, and repeatable INKM’s performance objective and investment process is for both security selection and portfolio construction.
The People Pillar is our evaluation of the INKM management team’s experience and ability. We find that high-quality management teams deliver superior performance relative to their benchmarks and/or peers.
The Parent Pillar is our rating of INKM’s parent organization’s priorities and whether they’re in line with investors’ interests.