Morningstar Risk Rating

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Dictionary Says

Definition of 'Morningstar Risk Rating'

A rating system that measures how often a fund loses money compared to the risk-free rate of return (T-bill return). 
Investopedia Says

Investopedia explains 'Morningstar Risk Rating'

A rating of 1 is considered average for each class of funds. So, if a mutual fund's risk rating is 1.25, then it is 25% more risky than the other funds in its class.

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