Fund Awards Methodology

General Methodology

Criteria (cumulative)

  • Funds registered for sale in the respective country as of the end of the evaluation year
  • At least 36 months of performance history as of the end of the evaluation year
  • Lipper Global classifications with at least ten distinct portfolios based on the primary share class definition, excluding residual classifications, institutional, private, closed-end, exchange-traded and insurance funds as well as absolute return funds.
  • Asset classes: equity, bond, and mixed-asset.

Fund classification awards

The currency for the calculation corresponds to the currency of the country for which the awards are calculated and relies on monthly data. Classification averages are calculated with all eligible share classes for each eligible classification. The calculation periods extend over 36, 60, and 120 months. The highest Lipper Leader for Consistent Return (Effective Return) value within each eligible classification determines the fund classification winner over three, five, or ten years. For a detailed explanation please review the Lipper Leaders methodology documents on the Lipper Leaders Information page.

Asset class group awards

Fund groups with at least five equity, five bond, or three mixed-asset portfolios in the respective asset classes are eligible for a group award. The lowest average decile(1) rank of the three years, Consistent Return measure of the eligible funds per asset class and group will determine the asset class group award winner over the three-year period. In cases of identical results the lower average percentile rank will determine the winner.
Asset class group awards will be given to the best large and small groups separately. Small groups will need to have at least three distinct portfolios in one of the asset classes - equity, bond, or mixed-asset.

Overall group award

Fund groups with at least five equity, five bond, and three mixed-asset funds are eligible for an overall group award. An overall group award will be given to the group with the lowest average decile(1) ranking of its respective asset class results based on the methodology described above. In cases of identical results the lower average percentile rank will determine the winner. An overall group award will be given to the best large and small group separately. Small groups will need to have at least three equity, three bond, and three mixed-asset funds.

(1)The decile ranking is obtained by the percentile ranking according to the formula: INT((((Percentile Rank 1 ) * ( 1 4.3.21 )) / 10 ) +1 ) in order to eliminate the percentile ranking bias within very small and very large sectors by number of funds.

Assets-under-management breakpoint calculation

Europe: In order to define the breakpoint between large and smaller companies, Lipper will calculate the sum of the single fund sizes of all funds (excluding closed-end funds), with sales permission in any European country per company and then sort the results in descending order. For each company a percentage share value of the total assets under management will be calculated and accumulated to 100%. The assets-under-management breakpoint is found at 80 percent accumulated weight value.
United States: All eligible open-end funds (see Specific Methodology Issues for the US) with sales permission in the United States will be considered. The assets-under-management breakpoint is found at 85 percent accumulated weight value.

Awards and certificates

Winning funds over three years within the 35 or 20 largest classifications per award universe according to assets under management will be awarded a statuette. Where appropriate, only funds domiciled in the respective country will be taken into consideration for determining the largest classifications. All winning groups will be awarded a statuette, as well. However all winners will receive a certificate, which can be downloaded for the current year from the awards site.

Disclaimer

Although Lipper makes reasonable efforts to ensure the accuracy and reliability of the data contained herein, the accuracy is not guaranteed by Lipper. Users acknowledge that they have not relied upon any warranty, condition, guarantee, or representation made by Lipper. Any use of the data for analyzing, managing, or trading financial instruments is at the user's own risk. This is not an offer to buy or sell securities.

For more details about specific market, legal and country specific methodology issues, please read the complete Lipper Fund Awards Methodology.