PrimeInvestor.in, an investment research as a service (RaaS) platform for retail investors, has launched its mutual fund rating (MF) tool, Prime Ratings. The tool is an attempt to overcome the limitations of other MF rating systems now available for retail investors. It uses a more diverse combination of risk and return metrics and looks at fund categories based on their characteristics and investment purpose and not just their SEBI-defined category. It also spreads ratings out into a smoother curve which provides better distinction between funds.
Prime Ratings metrics strike a balance between looking at longer term performance and recent performance. This way, the ratings do not consider data that may have turned irrelevant nor is completely swayed by recent performance, commented Vidya Bala, co-founder, PrimeInvestor.in.
Another interesting difference is that we have chosen to go with half-star progressions that is youll have funds with three-and-a-half and four-and-a-half stars and so on. We decided on this approach to provide finer distinction between fund performances compared with other ratings, said Srikanth Meenakshi, co-founder. He added, Our full suite of recommended products and portfolios, besides our review tools when all used together, can empower a retail investor make confident decisions in the right direction.
PrimeInvestor.in was launched in November 2019. It was co-founded by Srikanth Meenakshi, Bhavana Acharya and Vidya Bala.