Beginning with this report on manager performance for the first quarter of 2006, Pensions & Investments is using the complete Morningstar universe for the quarterly "Best Performing Managers" special report.
In 2004, Pensions & Investments sold the P&I Performance Evaluation Report database to Morningstar Inc., which now has integrated that separate accounts and commingled funds database into its own categories.
Click here for complete set of manager rankingsFollowing is a summary of changes in the "Best Performing Managers" charts that reflect the adoption of Morningstar categories and the elimination of the old PIPER categories:
• Morningstar categories for moderate allocation and conservative allocation replace the old categories for tactical asset allocation and balanced accounts. Moderate allocation separate accounts have 50% to 70% of assets in equities and the rest in fixed income. Conservative allocation separate accounts have about 20% to 50% of assets in equities.
• Morningstar categories for U.S. equity are value, growth and blend. The blend category, strategies that fall between value and growth, did not exist in the old database.
• Morningstar's world bond category replaces the old categories of international fixed income and global fixed income. The world bond category represents portfolios that invest 40% or more of their assets in foreign bonds. Some portfolios invest exclusively outside the U.S. and others invest in both U.S. and non-U.S. bonds.
• Morningstar's intermediate-term bond category replaces the old categories of intermediate-duration fixed income and broad-market fixed income. Intermediate term portfolios have a duration of three-and-a-half to six years.
Additionally, P&I has altered Morningstar's bond categories to exclude municipal bond portfolios.
A summary of applicable Morningstar categories can be found at http://www.pionline.com/categories.