Maryland College Investment Plan Earns Morningstar's Highest Rating for the Third Year in a Row!
When you're saving for your child's higher education expenses, be sure you consider a 529 plan with low expenses and strong management expertise. The Maryland College Investment Plan, managed by T. Rowe Price, was one of only four 529 plans to receive a "Gold" rating by Morningstar in 2012.
In awarding the "Gold" rating Morningstar expressed that the rating means they have "the highest conviction in the plan’s ability to serve college savers well over the long term." The report also mentions T. Rowe Price’s "top-notch investments" and that the Plan has been an industry leader for several years running because it offers "high-quality active strategies at a reasonable price." In addition to receiving a "Gold" rating in 2012, the College Investment Plan received Morningstar’s "Top" rating in 2011 and 2010 under Morningstar's previous rating system
See how easy it is to save with a "Gold" rated college savings plan. It's a decision that can make a big difference for your child's future.
It's a decision that can make a big difference for your child's future.
All college savings portfolios are subject to market risk, including possible loss of principal.
Evaluation Criteria used by Morningstar:
2012 (ratings released 10/15/12): Morningstar reviewed 64 plans and awarded its highest "Gold" rating to 4 of them. Morningstar's analysts consider five factors to determine a plan’s rating: the plan's strategy and investment process; the plan's risk-adjusted performance; an assessment of the plan's manager; the stewardship practices of the plan's administration and parent firm; and whether the plan's investment options are a good value proposition compared to its peers. Plans were then assigned forward-looking ratings of "Gold," "Silver," "Bronze," "Neutral," and "Negative." 22 of the industry’s smallest plans were not rated.
2011 and 2010: Morningstar analysts reviewed 58 plans, of which 6 plans received a "Top" rating, and 52 plans for its 2010 survey, of which 5 plans received a "Top" rating. Ratings for each plan were based on five factors: the quality of the underlying investment options; performance of those options; the skill of the managers of those options; the costs associated with each plan; and the stewardship practices of each plan's program manager. Plans were then assigned ratings of "Top," "Above Average," "Average," "Below Average," and "Bottom." To earn a "Top" rating, a plan must be best-in-class across all five areas.