Morningstar launches qualitative research and ratings for investment trusts and other closed-end funds, supported by IFA education roadshow
Morningstar’s investor education and quantitative, risk-adjusted ratings for closed-end funds (more commonly known as investment trusts) have helped investors make better portfolio decisions for over a decade now. In an exciting new development, Morningstar has now launched qualitative, analyst-driven research and ratings that enable U.K. investors to make better-informed decisions about their portfolios.
Morningstar’s director of closed-end fund research in the UK, Jackie Beard, explains why this move is particularly pertinent with regard to RDR: “Our closed-end fund ratings are a key part of our research offering to prepare for the industry’s shift to a fee-based advice model next year. We’re seeing clear interest from advisers in investment trusts as they prepare their business for the whole-of-market proposition, and our goal is to support their work with independent and transparent research delivered in a concise report.” To support these efforts, Morningstar is running a UK roadshow throughout 2012 aimed at furthering IFAs’ investment trust education. More details and schedule here.
Morningstar Analyst Research and Ratings have initially been launched for 32 closed-end funds with ratings ranging from Gold, Silver and Bronze to Neutral and even Negative for those that we deem to be sub-par compared with peers. But our coverage doesn’t stop there. We plan to cover more funds throughout 2012 and already have a target list in mind that will see 100 CEFs under coverage by the end of the year. The new ratings are available across Morningstar products, in Direct, Adviser Workstation and on our retail site www.morningstar.co.uk.
Watch a video discussion featuring Jackie Beard, the AIC’s Ian Sayers and Peter Toogood of OBSR, a Morningstar company, on the investment trust research here and download our methodology here.