Fiduciary risk evaluation benefits escape HK plan sponsors

Unlike fund trackers that rank investment funds based on past performance, a fiduciary rating is supposed to forewarn investors about the reliability and organizational ability of a manager, in terms of providing a consistent level of performance. And while a credit rating assesses the risk of default by a borrower, a fiduciary rating evaluates a manager’s ability to protect and enhance the value of assets entrusted to it by clients.