Investment Product Ratings
Lonsec’s ratings provide a clear and trusted guide to the quality of financial products that it has reviewed.
Each rating reflects Lonsec’s level of confidence in a product’s ability to deliver on its investment objectives, backed by our rigorous research process.
For certain product types, such as direct equities and structured products, Lonsec applies a simple Approved or Not Approved rating to ensure clarity and consistency.
Our managed fund ratings
Highly Recommended
Indicates that Lonsec has very strong conviction the product can meet its investment objectives.
Recommended
Indicates that Lonsec has strong conviction the product can meet its investment objectives.
Investment Grade
Indicates that Lonsec has conviction the product can meet its investment objectives.
Screened Out
Indicates Lonsec was unable to attain sufficient conviction that the product can meet its investment objectives.
Redeem
Indicates Lonsec no longer has sufficient conviction that the product can meet its investment objectives.
Our direct equity and structured product ratings
Approved
Indicates that Lonsec believes the product can meet its investment objectives.
Not Approved
Indicates that Lonsec does not believe the product can meet its investment objectives.
Our product statuses and classifications
Lonsec is committed to providing advisers and investors with clear, transparent ratings and insights into the products that it researches.
When there has been a material development affecting a product or where a product is no longer part of our active research program, Lonsec assigns a status that explains why there has been a change in our research coverage.
Lonsec can assign one of the following statuses:
Fund Watch
When a rating is under review due to the occurrence of a significant event relating to the product.
Discontinued Review
When a product is withdrawn from the review process prior to completion.
Ceased Coverage
When a rated product is withdrawn from Lonsec’s researched universe (coverage).
Closed / Wind Up
When the product has been closed.
Not Rated
‘Not Rated’ is a classification applying to a product not reviewed under Lonsec’s Research Process and no view or opinion is being made in any way as to the product’s ability to meet its investment objectives.
Our Consistency Seals
Platinum
Awarded to products rated Highly Recommended for five years in a row.
Gold
Awarded to products rated a mix of Highly Recommended and Recommended over five continuous years.
Silver
Awarded to products rated Recommended for five years in a row.
Our super fund ratings
Platinum
A best value for money superannuation fund that is well balanced across all key assessment criteria – investments, fees and charges, insurance, member servicing and administration in a robust, secure and proven governance / risk framework. These funds provide features that should assist most individuals meet their retirement goals.
Gold
A good value for money superannuation fund that is strong in nearly all assessment areas but with average features and / or performance in one or more of our assessment criteria.
Silver
A reasonable value for money superannuation fund that is performing well in a number of assessment areas but with average or below average features and / or performance in a number of other areas of our assessment.
Other
An Other rated fund usually has average or below average features and / or performance across a number of assessment areas. These funds frequently have many competitors that offer superior performance and structures in a more efficient environment.