We can use this criterion to compare how long a fund remains in each quartile, and also its regularity in the ranking.
Funds that have remained in the first quartile, i.e. among the top positions in their group, have shown that their performance is significantly better than average.
While funds which have been regularly stayed in the third or fourth quartile will have displayed a below average performance.
Experts observe how long funds spend in each quartile to check if their performance is optimal.
The periods analysed within each quartile must be longer than one year so as to be able to use this information as a reliable reference.