Scoring Fund Management Data
  1. Passive Vs. Active Management
  2. Fund I-Q No.4: Manager Tenure and Structure
  3. Scoring Fund Management Data

Scoring Fund Management Data

By Richard Loth (Contact | Biography)

This is the entry we need to complete in the Fund Investment-Quality Scorecard for an analysis of a fund's management tenure and structure:




For those funds with a solo manager, a "very positive" rating would go to a tenure-performance match of six to 10 years. A "positive" rating would apply to a three to five year match, and anything less than three years would be "sub-standard." For co-managed funds, at least one of the co-managers would have to qualify accordingly.

If a manager or managers have an investment position in the fund they are running, that's a definite plus. But, because there are circumstances that make the application of this qualifier problematic, it should not unduly influence the managerial analysis.

Value Line and Morningstar do give the name(s) and starting date(s) of a fund's manager(s). Value Line's fund report also provides a very useful numerical (1 highest to 5 lowest) "Manager Rating," measuring the manager's risk-adjusted performance relative to that of the fund's peer group. Morningstar will usually make some evaluative comment on managerial performance in the "Morningstar's Take" section of its report.

Return to the Main Menu.
Proceed to the next chapter on Fund Transactional Activity.


  1. Passive Vs. Active Management
  2. Fund I-Q No.4: Manager Tenure and Structure
  3. Scoring Fund Management Data
RELATED TERMS
  1. Fund Manager

    The person(s) resposible for implementing a fund's investing ...
  2. Management Tenure

    The length of time that a manager(s) has been at the helm of ...
  3. Active Management

    The use of a human element, such as a single manager, co-managers ...
  4. Morningstar Risk Rating

    A ranking ranging from one to five stars, with one being the ...
  5. Funds Management

    The management of the cashflow of a financial institution. The ...
  6. Institutional Fund

    A fund that targets high value investors with low management ...
RELATED FAQS
  1. How do I judge a mutual fund's performance?

    Evaluate mutual fund performance utilizing resources such as Morningstar; compare the fund with others in its peer group ... Read Answer >>
  2. Where does a hedge fund get its money?

    Learn how a hedge fund is structured and how the managing partner of the fund goes about the process of finding and soliciting ... Read Answer >>
  3. Where do most fund managers get their market information?

    Many fund managers, whether they manage a mutual fund, trust fund, pension or hedge fund, have access to resources that the ... Read Answer >>
  4. Does mutual fund manager tenure matter?

    Learn whether or not mutual fund manager tenure is an indicator that investors should use to determine how successful a fund ... Read Answer >>
  5. How do I calculate the loan-to-value ratio using Excel?

    Learn what a mutual fund and a money market fund are, and understand the differences between each and how they serve various ... Read Answer >>
  6. What is an appropriate large cap mutual fund fee?

    Discover what an appropriate fee for a large-cap mutual fund should be, and learn how choosing index mutual funds can lead ... Read Answer >>
Hot Definitions
  1. Reverse Mortgage

    A type of mortgage in which a homeowner can borrow money against the value of his or her home. No repayment of the mortgage ...
  2. Labor Market

    The labor market refers to the supply and demand for labor, in which employees provide the supply and employers the demand. ...
  3. Demand Curve

    The demand curve is a graphical representation of the relationship between the price of a good or service and the quantity ...
  4. Goldilocks Economy

    An economy that is not so hot that it causes inflation, and not so cold that it causes a recession. This term is used to ...
  5. White Squire

    Very similar to a "white knight", but instead of purchasing a majority interest, the squire purchases a lesser interest in ...
  6. MACD Technical Indicator

    Moving Average Convergence Divergence (or MACD) is a trend-following momentum indicator that shows the relationship between ...
Trading Center