Standard & Poor's Fund Management Ratings are based on an evaluation of quantitative (historic performance, volatility, and portfolio construction) and qualitative (management, corporate status and investment process) factors that contribute to long-term performance. In S&P's opinion, funds that adhere to disciplined processes and exhibit strong management, are more likely, over the long run, to provide consistent, above-average volatility adjusted returns relative to funds in the same sector. The differentiation in the rating categories is based on quantitative factors and S&P's qualitative assessment of the investment process and management.