Read and review commentaries written by Morningstar experts. These observations and insights are specific to Mutual Funds.
July Fund Analyst Ratings Stay the Course
A handful of upgrades and downgrades during the month.
by Christopher Franz, CFA | 2017-08-14 04:00:00
In July, Morningstar manager research analysts affirmed the Morningstar Analyst Ratings of 71 funds, upgraded the ratings of six funds, downgraded the ratings of four funds and one target-date series, placed one fund under review, and assigned new ratings to 25 funds. Below are some of July's highlights, followed by the full list of ratings changes.UpgradesPIMCO Long Duration Total Return was upgraded to Silver from Bronze because of the team's strength and the firm's continued stabilization in the wake of co-founder Bill Gross' late-2014 departure. The fund's longtime manager, Steve Rodosky, took a brief leave of absence in 2016, and PIMCO prudently added Mike Cudzil and Mohit Mittal as comanagers. Rodosky has taken on leadership responsibilities across the firm since his return, and Cudzil, who specializes in long-… Full Story
The Mediocre EAFE
The so-so performance of the EAFE Index stems from its regional allocations and focus on large-caps.
by Daniel Sotiroff | 2017-08-11 04:00:00
The proliferation of index funds has been a tremendous benefit to individual investors. Low-cost access to a representative, well-diversified portfolio has enabled them to piggy-back on the collective efforts of active investors. But the assumption that these characteristics cause index funds to outperform a majority of active managers has been weaker for those that track the MSCI EAFE Index. For decades this index has been referenced by investors and fund managers alike as a representative benchmark for foreign stocks. But the performance of this stalwart index relative to funds in the foreign large-blend Morningstar Category has been tepid to say the least. Its annualized returns, on both an absolute and risk-adjusted basis, have fluctuated around the category midpoint. The S&P 500, a comparable U.S. large-cap index, has generated retur… Full Story
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Mutual Funds: Commentary
Commentary
Read and review commentaries written by Morningstar experts. These observations and insights are specific to Mutual Funds.
July Fund Analyst Ratings Stay the Course
A handful of upgrades and downgrades during the month.
The Mediocre EAFE
The so-so performance of the EAFE Index stems from its regional allocations and focus on large-caps.
July Fund Analyst Ratings Stay the Course
The Mediocre EAFE
6 Medalists Posting Extreme Performance in 2017
Some Funds Are Not Running Fast Enough to Stand Still
Making Sense of an Increasingly Tight Market for Bonds
A Large Cash Stake Doesn't Necessarily Make for a Low-Risk Fund
Why Have Investors Bailed on Low-Volatility Funds?
Have Strategic-Beta ETFs Delivered for Investors?
The 4 Smallest Medalists
The Sector-Neutral Value ETF
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