Morningstar's reputation

1337's picture
Rank: Orangutan | 250

What is their reputation in the industry? Their culture is top notch and fairly easygoing, but are their analysts any good and do any good buy side guys subscribe to their reports. Who are their main clients?

Also how does their pay look for entry level associates? Glassdoor data says 60 + 10 for Analyst positions, but couldnt find anything for associates.

Comments (18)

Dec 10, 2011

Their reputation is good. Generally people who are allocating money to funds care what Morningstar has to say. People on the retail side care more because they have fewer resources dedicated to researching funds.

Generally when people refer to the "buy side" they are referring to the guys who actually run the money. Those are the people who Morningstar are doing research on. Those people usually only care about what Morningstar has to say because it affects their AUM.

Morningstar is a big company and "analyst" and "associate" can mean a number of different things.

Dec 10, 2011

thanks for the feedback, 3xbuy. you make some good points regarding their funds research - I am also looking for info on their company-specific equity research, if anyone has this type of info they want to share.

Dec 10, 2011
1337:

thanks for the feedback, 3xbuy. you make some good points regarding their funds research - I am also looking for info on their company-specific equity research, if anyone has this type of info they want to share.

I don't really know much about their equity research, but their reputation is not as good. One of their guy's wrote one of the little books.

http://www.amazon.com/Little-Book-That-Builds-Weal...
It's a good book, and it would probably be a good idea to read it if you are serious about working there.

Dec 10, 2011

You looking at their Chicago office? From my experience they're a bunch of granola heads. But if your comfortable with their culture that's very easy going as you say, then it'll work.

    • 1
Dec 10, 2011

The Fives Rules for successful Stock Investing was also written by Pat Dorsay.

Dec 10, 2011

Thanks, gents. I put in an order for both those books.

I dont understand why pay at M* isnt on the same level as some of the nicer shops - do they just have fewer clients, small coverage, or is their billing different in some substantial way?

If anyone else has any input on culture, pay, etc. feel free to share. I'm not sure I agree with the granola head comment. After speaking to peeps @ M*, no one strikes me as a weirdo.. but who knows.

Dec 13, 2011

I've taken a good look at M's approach to ER and their use of the "economic moat" and it really appeals to me. I don't understand why long-only value funds wouldn't poach guys from M who haven't been brainwashed with this obsession of quarterly earnings and short-term thinking at BB's.

Dec 13, 2011

its decent, they like all their broads FOREIGN though.

Dec 13, 2011
spaceagecowboy:

its decent, they like all their broads FOREIGN though.

Foreign how? Like asian?

Dec 13, 2011

I know that they've been working hard to develop their institutional business, but don't know a ton about reputation. Culture is pretty low key from what I know.

Dec 13, 2011

Anybody know how the comp is there?

"When I was young I thought that money was the most important thing in life; now that I am old I know that it is."
- Oscar Wilde
"Seriously, psychology is for those with two x chromosomes."
- RagnarDanneskjold

Dec 13, 2011

I do not work at Morningstar personally, so take slight caveat from that, but that being said, I have three friends that work/ have worked at that firm.

First and foremost, it's not a banking firm. Morningstar sells, publishes information and research on Equity, ETFs, Hedge Funds, Market color, and has their own software (as well as Ibbotson, which I think they recently acquired) for data analyses. You may have seen their "box" which provides color on different sectors of the market.

You might want to check out morningstar.com to see what they do.

In terms of career prospects, I think it's a good place to work if you want to get started in research, but don't know how easy it is to jump ship from Morningstar into BB banking.

I know one person who made the jump from Morningstar and now works in Citi's equity research.

Culture there is pretty lax, and that's what they pride themselves upon. Almost anything goes in terms of dress code (unless there's client interface of course), jeans are quite the norm.

Hope that helps a little.

Dec 13, 2011

cubemonkey101, thanks for the info!

Actually, I am considering entering Morningstar as a software developer. Is Morningstar a "branded" company to have on one's resume? And, how does this compare to say being a software developer at firms like JP Morgan in terms of career prospects? Is it seen to be the better of the two? Or they are all about the same? Thanks!

Dec 13, 2011

Could anyone help me out with the queries? Thanks.

Dec 13, 2011

dude you're on the wrong board, not many people here would be able to give you useful insight into which company is best for software development. Software development =\= investment banking.

Dec 13, 2011
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