The Link Between Morningstar Ratings and Mutual Fund Flows
The Link Between Morningstar Ratings and Mutual Fund Flows
Morningstar Analyst Ratings significantly influence fund flows.
Recent research explores the link between mutual fund flows and Morningstar ratings, specifically the Morningstar Analyst Rating. This rating, based on factors such as People, Process, Parent, Price, and Performance, shows a correlation with fund flows, though not as strong as the Morningstar Star Rating.
The study found that actively managed funds with upgraded Analyst Ratings saw substantial inflows as well as downgraded funds that experienced outflows. Downgrades had a stronger impact on equity fund flows compared to upgrades, which are generally less immediate.
Download this report now to explore the relationship between fund flows and Morningstar’s forward-looking stock analyst ratings.
What's Inside:
What's Inside:
- Explore how Morningstar Analyst Ratings affect mutual fund flows
Review the detailed findings on how fund upgrades and downgrades translate to significant changes in fund flows over time
Compare the effectiveness of Morningstar Star Ratings versus Analyst Ratings and Quantitative Ratings in predicting mutual fund flow patterns