Morningstar, Inc. - Revision history

Manos at 00:37, 3 November 2022

2022-11-03T00:37:20Z

← Older revision		Revision as of 01:37, 3 November 2022
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	== Financials ==		== Financials ==
	{\| class="wikitable"		{\| class="wikitable"
	\| colspan="3" \|Year ended December 31 (in millions except per share amounts)		! colspan="3" \|Year ended December 31 (in millions except per share amounts)
	\| colspan="2" \|2021		! colspan="2" \|2021
	\| colspan="2" \|2020		! colspan="2" \|2020
	\| colspan="2" \|2019		! colspan="2" \|2019
	\|-		\|-
	\| colspan="3" \|Revenue		\| colspan="3" \|Revenue
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	\|}		\|}
	{\| class="wikitable"		{\| class="wikitable"
	\| colspan="3" \|Year ended December 31 (in millions)		! colspan="3" \|Year ended December 31 (in millions)
	\| colspan="2" \|2021		! colspan="2" \|2021
	\| colspan="2" \|2020		! colspan="2" \|2020
	\| colspan="2" \|2019		! colspan="2" \|2019
	\|-		\|-
	\| colspan="3" \|Consolidated net income		\| colspan="3" \|Consolidated net income
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	\|}		\|}
	{\| class="wikitable"		{\| class="wikitable"
	\| colspan="3" \|As of December 31 (in millions except share amounts)		! colspan="3" \|As of December 31 (in millions except share amounts)
	\| colspan="2" \|2021		! colspan="2" \|2021
	\| colspan="2" \|2020		! colspan="2" \|2020
	\|-		\|-
	\| colspan="3" \|Assets		\| colspan="3" \|Assets

109.180.50.150 at 15:17, 2 November 2022

2022-11-02T15:17:29Z

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109.180.50.150 at 15:04, 2 November 2022

2022-11-02T15:04:49Z

← Older revision		Revision as of 16:04, 2 November 2022
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	== Notes==		== Notes==

	=== ~~'''~~Investment risk~~'''~~ ===		=== Investment risk ===
	Research shows that an investment has two main types of risks: 1) non-systematic and 2) systematic. Systematic risk is the risk related to the overall market, and non-systematic risk is the risk that's specific to an individual investment. Evidence shows that taking on non-systematic risk is inefficient, and it's, therefore, best to eliminate it; and in most cases, elimination is fairy easy to do [by holding a diversified portfolio of investments (i.e. around 15 investments)]. Accordingly, when assessing the riskiness of an investment, it’s best to look at the systematic risk only (i.e. ignore the non-systematic risk). A key measure of systematic risk is beta, and a main way to determine the riskiness of an investment is to compare the beta of the investment with the beta of the market, which is 1. For example, Morningstar's beta is 1.12, and is, accordingly, 12% above the market beta (of 1); assuming that a 'low' level of riskiness is between 25% either side of the market beta, then the riskiness of investing in Morningstar is considered to be 'low' (-25%<12%>25%).		Research shows that an investment has two main types of risks: 1) non-systematic and 2) systematic. Systematic risk is the risk related to the overall market, and non-systematic risk is the risk that's specific to an individual investment. Evidence shows that taking on non-systematic risk is inefficient, and it's, therefore, best to eliminate it; and in most cases, elimination is fairy easy to do [by holding a diversified portfolio of investments (i.e. around 15 investments)]. Accordingly, when assessing the riskiness of an investment, it’s best to look at the systematic risk only (i.e. ignore the non-systematic risk). A key measure of systematic risk is beta, and a main way to determine the riskiness of an investment is to compare the beta of the investment with the beta of the market, which is 1. For example, Morningstar's beta is 1.12, and is, accordingly, 12% above the market beta (of 1); assuming that a 'low' level of riskiness is between 25% either side of the market beta, then the riskiness of investing in Morningstar is considered to be 'low' (-25%<12%>25%).

109.180.50.150 at 15:00, 2 November 2022

2022-11-02T15:00:45Z

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109.180.50.150 at 12:25, 2 November 2022

2022-11-02T12:25:59Z

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109.180.50.150 at 11:55, 2 November 2022

2022-11-02T11:55:14Z

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109.180.50.150 at 11:18, 2 November 2022

2022-11-02T11:18:28Z

← Older revision		Revision as of 12:18, 2 November 2022
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	While other companies may offer research, ratings, data, software products, indexes, or investment management services, Morningstar is one of the few companies that can deliver all of these with the best interest of the investor in mind. The company believes that its primary goal of putting investors first, combined with the way that it uses design and technology to communicate complex financial information, sets it apart from its peers in the financial services industry.		While other companies may offer research, ratings, data, software products, indexes, or investment management services, Morningstar is one of the few companies that can deliver all of these with the best interest of the investor in mind. The company believes that its primary goal of putting investors first, combined with the way that it uses design and technology to communicate complex financial information, sets it apart from its peers in the financial services industry.

	=== ~~Its Research~~ ===		=== Offerings ===
	Its independence and its history of innovation make it a trusted resource for investors. Morningstar’s research covers a wide range of investment offerings, including managed investment products, publicly listed companies, private companies, fixed-income securities, and real-time global market data. It focuses its data and research efforts on several areas:		Its independence and its history of innovation make it a trusted resource for investors. Morningstar’s research covers a wide range of investment offerings, including managed investment products, publicly listed companies, private companies, fixed-income securities, and real-time global market data. It focuses its data and research efforts on several areas:

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	Since the beginning, Morningstar has provided individual investors with tools to monitor their own investments, such as the Ownership Zone, Sector Delta, and Portfolio X-Ray. These do-it-yourself applications allow investors to see how different investments work together to form a portfolio and to track its progress. Morningstar also continues to improve its total wealth approach to investing and asset allocation capabilities, which are mainly used in the investment management products it offer to professional investors. Morningstar also looks for ways to infuse these capabilities into decision support tools. Whereas traditional asset allocation methodologies focus solely on financial assets (such as stocks and bonds), Morningstar's investment management group has developed methodologies that provide a more holistic view of all sources of wealth, including financial capital, human capital, housing assets, and retirement and pension benefits. Its investment management group offers in-depth advice on asset allocation, portfolio construction, and security selection to meet the needs of investors and professionals looking for integrated portfolio solutions. It's also published research on "gamma," an innovative measure that quantifies how much additional retirement income investors can generate by making better financial planning decisions.		Since the beginning, Morningstar has provided individual investors with tools to monitor their own investments, such as the Ownership Zone, Sector Delta, and Portfolio X-Ray. These do-it-yourself applications allow investors to see how different investments work together to form a portfolio and to track its progress. Morningstar also continues to improve its total wealth approach to investing and asset allocation capabilities, which are mainly used in the investment management products it offer to professional investors. Morningstar also looks for ways to infuse these capabilities into decision support tools. Whereas traditional asset allocation methodologies focus solely on financial assets (such as stocks and bonds), Morningstar's investment management group has developed methodologies that provide a more holistic view of all sources of wealth, including financial capital, human capital, housing assets, and retirement and pension benefits. Its investment management group offers in-depth advice on asset allocation, portfolio construction, and security selection to meet the needs of investors and professionals looking for integrated portfolio solutions. It's also published research on "gamma," an innovative measure that quantifies how much additional retirement income investors can generate by making better financial planning decisions.

	=== ~~Our~~ People ===		=== People ===
	Its people is one of Morningstar’s most important assets, and the company is committed to fostering an inclusive community where its employees thrive. Its success depends on the values and performance of its people, and it supports them through a range of initiatives in the areas of diversity, equity, and inclusion (DEI), engagement, and professional growth.		Its people is one of Morningstar’s most important assets, and the company is committed to fostering an inclusive community where its employees thrive. Its success depends on the values and performance of its people, and it supports them through a range of initiatives in the areas of diversity, equity, and inclusion (DEI), engagement, and professional growth.

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	In 2021, Morningstar piloted a New Managers Mentorship program. This program is designed for newly promoted managers and managers who recently joined Morningstar, providing them the opportunity to engage with, and learn from, tenured managers across the organization.		In 2021, Morningstar piloted a New Managers Mentorship program. This program is designed for newly promoted managers and managers who recently joined Morningstar, providing them the opportunity to engage with, and learn from, tenured managers across the organization.

	=== ~~Our~~ Mission ===		=== Mission ===
	Our mission is to empower investor success. Everything we do at Morningstar is in the service of the investor. The investing ecosystem is complex, and navigating it with confidence requires a trusted, independent voice. We deliver our perspective to institutions, advisors, and individuals with a single-minded purpose: to empower every investor with conviction that he or she can make better-informed decisions and realize success on his or her own terms.		Our mission is to empower investor success. Everything we do at Morningstar is in the service of the investor. The investing ecosystem is complex, and navigating it with confidence requires a trusted, independent voice. We deliver our perspective to institutions, advisors, and individuals with a single-minded purpose: to empower every investor with conviction that he or she can make better-informed decisions and realize success on his or her own terms.

	=== ~~Our~~ Strategy ===		=== Strategy ===
	Our strategy is to deliver insights and experiences essential to investing. Proprietary data sets, meaningful analytics, independent research, and effective investment strategies are at the core of the powerful digital solutions that investors across our client segments rely on. We have a keen focus on innovation across data, research, product, and delivery so that we can effectively cater to the evolving needs and expectations of investors globally.		Our strategy is to deliver insights and experiences essential to investing. Proprietary data sets, meaningful analytics, independent research, and effective investment strategies are at the core of the powerful digital solutions that investors across our client segments rely on. We have a keen focus on innovation across data, research, product, and delivery so that we can effectively cater to the evolving needs and expectations of investors globally.

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	\|What's the estimated current size of the total addressable market?		\|What's the estimated current size of the total addressable market?
	\|$850 billion		\|$850 billion
	\|Here, the total addressable market (TAM) is defined as the global investment ~~information~~ market, and based on a number of assumptions<ref group="Note" name="Note01" />, it is estimated that the size of the market as of today (1st November 2022), in terms of revenue, is $850 billion.		\|Here, the total addressable market (TAM) is defined as the global investment research market, and based on a number of assumptions<ref group="Note" name="Note01" />, it is estimated that the size of the market as of today (1st November 2022), in terms of revenue, is $850 billion.
	\|-		\|-
	\|What is the estimated company lifespan?		\|What is the estimated company lifespan?
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	\|What's the estimated annual growth rate of the total addressable market over the lifecycle of the company?		\|What's the estimated annual growth rate of the total addressable market over the lifecycle of the company?
	\|3%		\|3%
	\|Research shows that the growth rate of the global investment ~~information~~ market (i.e. the total addressable market) is similar to the growth rate of global gross domestic product<ref>http://www.robertpicard.net/files/econgrowthandadvertising.pdf</ref>, which has averaged (medium) around 3% per year in the last 20 years (2001 to 2022)<ref>https://www.macrotrends.net/countries/WLD/world/gdp-growth-rate</ref>.		\|Research shows that the growth rate of the global investment research market (i.e. the total addressable market) is similar to the growth rate of global gross domestic product<ref>http://www.robertpicard.net/files/econgrowthandadvertising.pdf</ref>, which has averaged (medium) around 3% per year in the last 20 years (2001 to 2022)<ref>https://www.macrotrends.net/countries/WLD/world/gdp-growth-rate</ref>.
	\|-		\|-
	\|What's the estimated company peak market share?		\|What's the estimated company peak market share?

109.180.50.150 at 11:12, 2 November 2022

2022-11-02T11:12:49Z

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109.180.50.150 at 10:21, 2 November 2022

2022-11-02T10:21:43Z

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109.180.50.150 at 10:19, 2 November 2022

2022-11-02T10:19:46Z

← Older revision		Revision as of 11:19, 2 November 2022
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	\|2,696.0		\|2,696.0
	\|}		\|}
	~~Our Business~~

			== Operations ==
	Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. Our core competencies are data, research, and design, and we employ each of these to create products that clearly convey complex investment information. We started with affordable publications for individuals, then moved to creating technology solutions for professionals to help them research and select investments for clients. Today, we offer a variety of products and solutions that serve market participants of all kinds, including individual and institutional investors in public and private capital markets, financial advisors, asset managers, retirement plan providers and sponsors, and issuers of securities. We also apply our investing philosophy to managing assets for clients who prefer not to make investment decisions themselves. Since our founding in 1984, we’ve expanded our presence in global markets where investors need an independent view they can trust.		Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. Our core competencies are data, research, and design, and we employ each of these to create products that clearly convey complex investment information. We started with affordable publications for individuals, then moved to creating technology solutions for professionals to help them research and select investments for clients. Today, we offer a variety of products and solutions that serve market participants of all kinds, including individual and institutional investors in public and private capital markets, financial advisors, asset managers, retirement plan providers and sponsors, and issuers of securities. We also apply our investing philosophy to managing assets for clients who prefer not to make investment decisions themselves. Since our founding in 1984, we’ve expanded our presence in global markets where investors need an independent view they can trust.

← Older revision		Revision as of 01:37, 3 November 2022
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	== Financials ==		== Financials ==
	{\| class="wikitable"		{\| class="wikitable"
	\| colspan="3" \|Year ended December 31 (in millions except per share amounts)		! colspan="3" \|Year ended December 31 (in millions except per share amounts)
	\| colspan="2" \|2021		! colspan="2" \|2021
	\| colspan="2" \|2020		! colspan="2" \|2020
	\| colspan="2" \|2019		! colspan="2" \|2019
	\|-		\|-
	\| colspan="3" \|Revenue		\| colspan="3" \|Revenue
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	\|}		\|}
	{\| class="wikitable"		{\| class="wikitable"
	\| colspan="3" \|Year ended December 31 (in millions)		! colspan="3" \|Year ended December 31 (in millions)
	\| colspan="2" \|2021		! colspan="2" \|2021
	\| colspan="2" \|2020		! colspan="2" \|2020
	\| colspan="2" \|2019		! colspan="2" \|2019
	\|-		\|-
	\| colspan="3" \|Consolidated net income		\| colspan="3" \|Consolidated net income
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	\|}		\|}
	{\| class="wikitable"		{\| class="wikitable"
	\| colspan="3" \|As of December 31 (in millions except share amounts)		! colspan="3" \|As of December 31 (in millions except share amounts)
	\| colspan="2" \|2021		! colspan="2" \|2021
	\| colspan="2" \|2020		! colspan="2" \|2020
	\|-		\|-
	\| colspan="3" \|Assets		\| colspan="3" \|Assets