Lipper Average

The Lipper Average is a benchmark that measures the average performance of a specific group of mutual funds or exchange-traded funds (ETFs) that share similar investment objectives. Created by Lipper, a global financial services firm, the average helps investors compare the performance of their mutual funds with others in the same category, such as large-cap equity, bond funds, or international funds. This comparison provides a reference point for evaluating fund performance relative to peers.

Example

An investor compares the performance of their large-cap mutual fund to the Lipper Average for large-cap funds to determine how well their fund is performing relative to similar funds.