
Morningstar Ratings
Morningstar Ratings, often called "star ratings," evaluate mutual funds and ETFs based on their risk-adjusted historical performance. Funds are assigned a rating from one to five stars, with five stars indicating the best performance relative to similar funds over a specific period. The ratings incorporate factors such as returns, risk, and consistency, helping investors identify funds with strong long-term potential. It's important to remember that these ratings are based on past performance and do not guarantee future results, but they serve as a tool for comparing fund quality and making more informed investment decisions.