This week’s data covers all three years August 20, 2021.
Price T. Rowe took the top two places in this week’s Consistent 50 with his OEIC Small Company Shares and SICAV US Smaller Companies Equity, to push MGTS St Johns High Income Real Estate Fund third.
This week’s top ten remains largely unchanged from last week, except Legal & General’s UK Property Feeder Fund I joined the top ten, moving up four places.
Outside of the top ten, there have been few new entries in the Consistent 50, including FSSA Asia Focus Fund Class B (Accumulation) EUR, which entered the list under number 33.
Click here to see the full interactive table of this week’s 50 Consistents
The Consistent 50 is based on an assessment of all IA funds in the UK monitored by Morningstar. Each fund is rated for consistency with other similarly invested vehicles, classified by IA sectors.
First, all funds without a three-year performance history are excluded. In order to ensure statistical validity, sectors with less than 20 funds are also excluded, as well as those which do not allow a like-for-like comparison, such as Specialist, Guaranteed / Protected and Money Market.
The three-year consistency score is then calculated by measuring the average decile rank (ADR) of a fund over quarterly performance periods going back month by month over three years.
The more a fund performs compared to its peers over the same period, the higher it ranks and the lower its decile. An average of a fund’s decile ranking as measured over several periods of time provides an indication of its movement up or down relative to its peers.
The bottom 60% of funds in all sectors are then excluded based on the average rank of the decile. The remaining 40% of funds from all eligible IA sectors are then sorted based on how they rank relative to their peers in terms of volatility and gain / loss profile (funds with lower volatility being rewarded and equal weighting given to their peers. two measures). The top 50 funds are pre-selected to be part of the Consistent 50.
All data is calculated on a sterling basis, based on net income reinvested, from offer to offer.
Average Decile Rank (ADR) is the average decile ranking of the fund for quarterly performance periods going back month by month over three years. The closer the rank is to one, the more consistent the fund.
Gain / loss ratio is the sum of the percentages of positive returns of the fund divided by the sum of the percentages of negative returns of the fund over the chosen calculation period. The higher the resulting ratio, the greater the proportion of positive returns to negative returns, and therefore the better the performance of the fund.
Volatility is the standard deviation of the fund’s monthly returns over the past 36 months. The higher the volatility number, the greater the difference in the monthly returns of a fund. Volatility can be used as a measure of risk.
Morningstar RatingMT is calculated based on a fund’s total returns, adjusted for risk and sales charges, compared to other funds in its Morningstar category. The overall Morningstar Rating published here is based on a weighted average of a fund’s ratings over 3, 5 and 10 years, depending on the length of its registration.
Sector average over 3 years is the average performance of all funds in the IMA sector over three years. Comparing the three-year cumulative performance of the fund with the sector average highlights the fund’s performance compared to its peers.
Morningstar Equity Style Box is a graphic representation of an equity [share] dominant investment style of the fund at any given time. The style box combines two dimensions: size (large stocks, medium stocks, small stocks) and valuation (growth, mix, value), resulting in nine possible style combinations. More information on www.morningstar.co.uk
(TER) and Fund size are provided by the fund management companies and are the latest available to Morningstar.
Data source: © 2021 Morningstar, Inc. All rights reserved.