Morningstar Risk Rating

What Does Morningstar Risk Rating Mean?
A rating system that measures how often a fund loses money compared to the risk-free rate of return (T-bill return).

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.

Filed Under: Mutual Funds

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