Fees on the firm's open-end and exchange-traded funds are a weakness, contributing negatively to the rating and creating a larger performance hurdle on funds. On average, ABR Dynamic Funds charges fees on its funds that are in the second most-expensive quintile of similarly distributed funds. With the current market environment of fee compression, this is cause for concern, as investors may flock over time to alternate asset managers to get a better deal. A notable weakness of ABR Dynamic Funds is the inexperience of its longest-tenured managers compared with other asset managers. Managing capital through a full market cycle is a challenging prospect for seasoned managers, but with only five years of average asset-weighted tenure, there's cause for concern. Turnover among ABR Dynamic Funds portfolio management ranks has been low compared to other firms in the past five years. This stability on the personnel front boosts confidence in its staying power.
In an increasingly competitive industry, ABR Dynamic Funds falls behind on a number of key metrics, resulting in a Below Average Parent Pillar rating.
United States