Morningstar's fund rating
Morningstar's fund rating is a measure that can be used to see how the funds have performed historically. The more stars, the better the risk-adjusted return. Calculations are made once a month.
This is how the stars are distributed
5 stars: Best 10%
4 stars: Next 22.5%
3 stars: Mid 35%
2 stars: Next 22.5%
1 stars: Worst 10%
Do all funds receive a rating?
No, the fund must have existed for at least 3 years. It may also be the case that the fund has completely changed its investment focus and then the fund's historical results are no longer relevant. It may also be because there are too few funds with the same focus.
No rating is shown for money market funds (short-term fixed income funds).