The Morningstar Style Box is a grid of nine squares used to identify the
investment style
Investment style refers to different style characteristics of equities, bonds or financial derivatives within a given investment philosophy.
Theory would favor a combination of big capitalization, passive and value. Of course one could almost get ...
of
stock
In finance, stock (also capital stock) consists of all the shares by which ownership of a corporation or company is divided.Longman Business English Dictionary: "stock - ''especially AmE'' one of the shares into which ownership of a company ...
s and
mutual fund
A mutual fund is a professionally managed investment fund that pools money from many investors to purchase securities. The term is typically used in the United States, Canada, and India, while similar structures across the globe include the SICAV i ...
s. Developed by Don Phillips and John Rekenthaler of
Morningstar, Inc.
Morningstar, Inc. is an American financial services firm headquartered in Chicago, Illinois and was founded by Joe Mansueto in 1984. It provides an array of investment research and investment management services.
With operations in 29 countries, ...
, the Style Box was launched in 1992.
The vertical axis of the Style Box represents an
investment's size category: small, mid and large. The horizontal axis depicts fund investment style categories such as "value" and "growth," which are common to stocks and funds. The "blend" definition in the central column differs for stocks and funds. “For stocks, the central column of the Style Box will represent the core style (those for which neither value or growth characteristics dominate); for funds, it will represent the blend style (a mixture of growth and value stocks or mostly core stocks).”
References
{{Finance-stub
Investment