Investors need an objective, reliable, and authoritative way to assess the historical performance of investment funds. Fundata’s FundGrade rating system utilizes deep data and analytical calculations to generate a useful tool helping investors identify and select investment funds to build their portfolio.

The FundGrade rating system is automatically applied to those funds that meet the FundGrade criteria – about 7,000 funds from the total universe of Canadian investment funds.

Very basically, Fundata’s FundGrade system uses a risk-adjusted approach to rank performance of investment funds, as follows:

Fundata’s FundGrade rating system then assigns a grade ranging from an "A" (superior past performance) to an "E" (poor past performance). For a fund to score a FundGrade "A" rating, the fund must substantially outperform its peers by finishing in the top 10% over a minimum 24-month period.

FundGrade is a useful tool to help investors build their investment fund portfolio. But it does not contain subjective recommendations, analysts’ reviews, or performance forecasts. It is a completely quantitative measure that is based on the fund’s historical track record.

Visit Fundata's FundGrade information page for more details.