Cut-Throat,

Morningstar's risk ratings are a function of volatility as one would expect. However, funds are rated against other funds with similar objectives. As a result, a junk bond fund rated as " below average" risk is almost certain to be more risky than a short-term bond fund rated as "above average" in risk. The risk ratings should not be used to compare two funds with dissimilar objectives but rather with other funds in their category.

Forgive me if this is already understood.

Joe