Morningstar's September Winners & Losers

Analysts assigned new ratings to four U.S. funds and — new as of last month — six SMAs.

(Image: Shutterstock)

Morningstar published its summary of Morningstar Analyst Rating activity for 101 U.S. open-end mutual funds, exchange-traded funds, and seven separately managed accounts that occurred in September.

Analysts assigned new ratings to four U.S. funds. In addition, analysts upgraded ratings for five funds, downgraded ratings for five funds, affirmed ratings for 87 funds, and placed two funds’ ratings under review. New as of last month, analysts also assigned new ratings to six separately managed accounts and affirmed ratings for one.

“We upgraded Pimco Active Bond ETF from Neutral to Silver as it became clear that new management has consistently implemented a new steady-income-producing strategy since May 2017,” said Laura Pavlenko Lutton, Morningstar’s director of manager research for North America.

The Morningstar Analyst Rating for funds represents Morningstar’s conviction in the fund’s ability to outperform on a risk-adjusted basis over the long term. The five-tiered, qualitative Morningstar Analyst Rating scale has three positive levels, indicating Morningstar Medalists — Gold, Silver and Bronze — in addition to Neutral and Negative ratings.

As of Sept. 30, Morningstar analysts had assigned a rating of Gold to 158 unique U.S. funds, a Silver rating to 343 funds, a Bronze rating to 600 funds, a Neutral rating to 677 funds, and a Negative rating to 19 funds.

Morningstar Medalists currently account for approximately 5% of unique mutual funds available for sale in the United States and 69% of assets under management.

The following Morningstar Analyst Rating changes occurred in September 2018:

Upgrades

  1. BlackRock Technology Opportunities (Bronze from Neutral)
  2. Fidelity Advisor Emerging Asia (Bronze from Neutral)
  3. Fidelity Emerging Asia (Bronze from Neutral)
  4. PGIM Jennison Health Sciences (Silver from Bronze)
  5. Pimco Active Bond ETF (Silver from Neutral)

Downgrades

  1. Guggenheim Directional Allocation (Negative from Neutral)
  2. Harbor Capital Appreciation (Silver from Gold)
  3. Harbor International (Bronze from Silver)
  4. PGIM Jennison Growth (Silver from Gold)
  5. T. Rowe Price Real Estate (Bronze from Gold)

New Ratings

  1. JMA Large Cap Growth Equity (SMA) (Silver)
  2. JMA Mid Cap Growth Equity (SMA) (Bronze)
  3. Luther King Capital Management Small-Mid Cap Equity (SMA) (Neutral)
  4. Neuberger Berman Small Cap Intrinsic Value (SMA) (Bronze)
  5. Nuveen International Growth ADR (SMA) (Neutral)
  6. Renaissance Large Cap Growth (SMA) (Neutral)
  7. AMG Renaissance Large Cap Growth (Neutral)
  8. LKCM Small-Mid Cap Equity (Neutral)
  9. Neuberger Berman Intrinsic Value (Bronze)
  10. Nuveen International Growth (Neutral)

Under Review

  1. AMG Managers Amundi Short Duration Government (Neutral)
  2. Fidelity High Income (Silver)

—Related on ThinkAdvisor:

Recommended Stories