Investment Strategy
We seek to pick winning funds with superior management and quantitative characteristics linked to strong performance. Our quantitative research uses the most comprehensive mutual fund database in the world to determine the best strategies for long-term investing success. We then supplement those studies with extensive qualitative research of portfolio managers, analysts, and traders through onsite visits and follow-up phone calls.
 
About the Editor
Russel Kinnel is director of manager research for Morningstar, Inc. and editor of Morningstar FundInvestor, a monthly print newsletter for individual investors. He also writes the Fund Spy column for Morningstar.com, the company's investment Web site.

Since joining the company in 1994, Kinnel has covered the Fidelity, Janus, T. Rowe Price, and Vanguard mutual fund families. He helped develop the new Morningstar Rating for funds and the new Morningstar Style Box methodology. He also is co-author of the company's first book, The Morningstar Guide to Mutual Funds: 5-Star Strategies for Success, which was published in January 2003.

 
Find Fund Report
Please input a ticker or fund name.
 
About Russel Russ' Photo
Russel Kinnel,
Director of Manager Research and Editor, Morningstar FundInvestor
Russel Kinnel is director of manager research for Morningstar, Inc. and editor of Morningstar FundInvestor, a monthly print newsletter for individual investors.
Featured Posts
A Dramatic Reversal in the Market

Wow, what a time in the markets. Last week, the markets rallied as it became apparent that Joe Biden would win the election for U.S. President and that Republicans would gain some seats in the House. But this week has been even more interesting. Over the weekend, the election was called for Biden, and on Monday morning Pfizer announced a coronavirus vaccine with 90% efficacy that would start to be rolled out by December. Also, experts explained that good news made it more likely that other vaccines would prove effective.

The result was the great reversal in fortune that market watchers have expected for years. Small value had a massive rally and growth declined. As you know, growth has been running laps around value thanks to super-fast growers like Amazon.com and Tesla. But since COVID-19 hit last March, the dynamic gap grew greater. Value tends to be more economically sensitive, and the recession came out of nowhere. Thus, energy, manufacturing, restaurants, and retailers other than supermarkets and Amazon got crushed. On the flip side, Zoom, Peleton, Amazon, and others profited from everyone staying home.

Those value funds you own that have annoyed you? Take a look now. Many are surging.

The top performer for the month to date through Tuesday, Nov. 10 is Oakmark International OAKIX, which is up 21.3% in just the first 10 days of November. Causeway International Value CIVVX is up 21.2%, Causeway Global Value CGVVX is up 19.9%, and Oakmark Global OAKGX is up 17.1%. Other big value winners include the downtrodden Hotchkis & Wiley Mid-Cap Value HWMAX, up 16.7%; Fidelity Small Cap Value FCPVX, up 16.1%; and Dodge & Cox International Stock DODFX, up 15.7%. On a relative basis, Fidelity Capital & Income FAGIX is also impressive, with a 4.5% gain that puts it in the top percentile for the month.

In absolute terms, the funds hurting most are mostly those with some interest-rate risk rather than growth stocks because the growth stocks were invited to last week’s party even though they were shut out of this week’s vaccine rally. Vanguard Long-Term Treasury VUSTX shed 1.5% in November’s first 10 days. Vanguard Total International Bond Index VTABX shed 0.4%. Mortgages lost a bit as evidenced by Fidelity Mortgage Securities’ FMSFX decline 0.2% and DoubleLine Total Return Bond’s DBLTX 0.1% drop.

A couple of noteworthy relative underperformers are Morgan Stanley Institutional Growth MSEGX, which was bottom 3% with a 2.6% gain as its Internet-heavy portfolio took a breather. The fund is still up an insane 82.1% for all of 2020, so I’m sure no one’s complaining. Ariel International’s AINTX quality portfolio is also lagging as quality stocks often do in a cyclical-driven rally. The fund’s 6.2% month-to-date gain puts it in the bottom 2% of its peer group.

The 2020 Picture
Although small value has made up a lot of ground, growth still dominates the 2020 picture. Large growth is up 24.8%, followed by mid- and small-growth at 23% and 20%, respectively. Small value is down 6.7%, followed by mid-cap value at negative 4.9% and large value at negative 3.2%.

 

 

Recent Gold-Rated Fund Analysis
 

Customer Support

Product Support


Inquiries regarding your subscription such as address changes, missing/damaged issues, etc.
Phone: 1-800-957-6021 | Mon-Fri 8:30AM-5:00PM

Inquiries regarding technical issues such as logging in or downloading
Phone: 1-312-424-4288 | Mon-Fri 8AM-6PM
Email: newslettersupport@morningstar.com

 

Product Sales


Inquiries regarding your subscription renewal, billing or to learn about other Morningstar investment publications and resources
Phone: 1-866-608-9570 | Mon-Tue 8AM-5PM CST
Email: newslettersupport@morningstar.com