Ownership Submission
FORM 3
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

INITIAL STATEMENT OF BENEFICIAL OWNERSHIP OF SECURITIES

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940
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(Print or Type Responses)
1. Name and Address of Reporting Person *
  Kapoor Kunal
2. Date of Event Requiring Statement (Month/Day/Year)
01/01/2009
3. Issuer Name and Ticker or Trading Symbol
Morningstar, Inc. [MORN]
(Last)
(First)
(Middle)
C/O MORNINGSTAR, INC., 22 WEST WASHINGTON STREET
4. Relationship of Reporting Person(s) to Issuer
(Check all applicable)
_____ Director _____ 10% Owner
__X__ Officer (give title below) _____ Other (specify below)
Head of Individual Software
5. If Amendment, Date Original Filed(Month/Day/Year)
(Street)

CHICAGO, IL 60602
6. Individual or Joint/Group Filing(Check Applicable Line)
_X_ Form filed by One Reporting Person
___ Form filed by More than One Reporting Person
(City)
(State)
(Zip)
Table I - Non-Derivative Securities Beneficially Owned
1.Title of Security
(Instr. 4)
2. Amount of Securities Beneficially Owned
(Instr. 4)
3. Ownership Form: Direct (D) or Indirect (I)
(Instr. 5)
4. Nature of Indirect Beneficial Ownership
(Instr. 5)
Common Stock (Restricted Stock Units) (1) 451
D
 
Common Stock (Restricted Stock Units) (2) 607
D
 
Common Stock (Restricted Stock Units) (3) 776
D
 
Common Stock (Restricted Stock Units) (4) 1,364
D
 
Common Stock 1,745
D
 

Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly. SEC 1473 (7-02)
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Table II - Derivative Securities Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security
(Instr. 4)
2. Date Exercisable and Expiration Date
(Month/Day/Year)
3. Title and Amount of Securities Underlying Derivative Security
(Instr. 4)
4. Conversion or Exercise Price of Derivative Security 5. Ownership Form of Derivative Security: Direct (D) or Indirect (I)
(Instr. 5)
6. Nature of Indirect Beneficial Ownership
(Instr. 5)
Date Exercisable Expiration Date Title Amount or Number of Shares
Employee Stock Option (Right to Buy)   (5) 05/01/2010 Common Stock 875 $ 14.13 D  
Employee Stock Option (Right to Buy)   (6) 05/01/2011 Common Stock 800 $ 14.13 D  
Employee Stock Option (Right to Buy)   (7) 05/01/2012 Common Stock 2,500 $ 10.95 D  
Employee Stock Option (Right to buy)   (8) 05/01/2013 Common Stock 3,000 $ 8.57 D  
Employee Stock Option (Right to Buy)   (9) 12/01/2014 Common Stock 625 $ 17.4357 (10) D  
Employee Stock Option (Right to Buy)   (11) 05/02/2015 Common Stock 625 $ 21.5224 (12) D  
Employee Stock Option (Right to Buy)   (13) 01/01/2016 Common Stock 1,000 $ 39.429 (14) D  

Reporting Owners

Reporting Owner Name / Address Relationships
Director 10% Owner Officer Other
Kapoor Kunal
C/O MORNINGSTAR, INC.
22 WEST WASHINGTON STREET
CHICAGO, IL 60602
      Head of Individual Software  

Signatures

Heidi T. Miller, by power of attorney 01/06/2009
**Signature of Reporting Person Date

Explanation of Responses:

* If the form is filed by more than one reporting person, see Instruction 5(b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
(1) Each restricted stock unit represents a contingent right to receive one share of Morningstar, Inc. common stock. The restricted stock units vest in four equal annual installments beginning May 15, 2007.
(2) Each restricted stock unit represents a contingent right to receive one share of Morningstar, Inc. common stock. The restricted stock units vest in four equal annual installments beginning May 15, 2008.
(3) Each restricted stock unit represents a contingent right to receive one share of Morningstar, Inc. common stock. The restricted stock units vest in four equal annual installments beginning August 15, 2008.
(4) Each restricted stock unit represents a contingent right to receive one share of Morningstar, Inc. common stock. The restricted stock units vest in four equal annual installments beginning May 15, 2009.
(5) The options became exercisable in four installments. On May 1, 2001 and 2002, 563 options vested. On May 1, 2003 and 2004, 562 options vested.
(6) The options became exercisable in four equal installments on May 1, 2002, 2003, 2004, and 2005.
(7) The options became exercisable in four equal installments on May 1, 2003, 2004, 2005, and 2006.
(8) The options became exercisable in four equal installments on May 1, 2004, 2005, 2006, and 2007.
(9) The options became exercisable in four equal installments on May 1, 2005, 2006, 2007, and 2008.
(10) The exercise price is determined by the daily indexing of the fair market value of the shares on the grant date ($14.70) against the 10-Year U.S. Treasury Bond Rate on December 1, 2004, compounded annually. Therefore the exercise price is subject to change throughout the life of the option. On January 5, 2009, the exercise price was $17.4357.
(11) The options become exercisable in four equal installments. On May 2, 2006, 2007, and 2008, 625 options vested. The remaining 625 options will vest on May 2, 2009.
(12) The exercise price is determined by the daily indexing of the fair market value of the shares on the grant date ($18.50) against the 10-Year U.S. Treasury Bond Rate on May 2, 2005, compounded annually. Therefore the exercise price is subject to change throughout the life of the option. On January 5, 2009, the exercise price was $21.5224.
(13) The options become exercisable in four equal installments. On January 1, 2007, 2008, and 2009, 500 options vested. The remaining 500 options will vest on January 1, 2010.
(14) The exercise price is determined by the daily indexing of the fair market value of the shares on the grant date ($34.64) against the 10-Year U.S. Treasury Bond Rate on January 1, 2006, compounded annually. Therefore the exercise price is subject to change throughout the life of the option. On January 5, 2009, the exercise price was $39.429.

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