We are introducing two new tools for all P123 users. They should be available later today.
Under the Research menu you’ll see a new category: Series & Factors.
The old “Custom Series” tool is now under this menu, relabeled “Aggregate (Custom) Series.”
The new tools are Data Series and Stock Factors.
A data series is a list of dates and values; a stock factor is a list of dates, tickers, and values. You can import them as CSV files. Here’s how you can use them.
The data series function just like custom series. Once you save a data series, you can chart it and then use the values with GetSeries. GetSeries is used in the series parameter for a number of commands, including Close, SMA, EMA, etc.
So, for example, let’s say you upload the FRED data for the US leading index. And let’s say you only want to invest when the index is 0.5% or higher. So you copy the USSLIND data from FRED, open the data series tool, upload the CSV file, give it a name (say “USSLIND”), and then in your buy rule, or a screener rule, you can specify Close(0,GetSeries(“USSLIND”)) > 0.5.
The stock factor tool allows you to import outside data about tickers (both stock and ETF). You can use this, for example, to import an ETF’s historical holdings, the executive compensation of companies, or alternative data sources for adjusted EBITDA if you can get it. You can upload the historical Zacks ranks of companies (if you can get that) to see how well they’d backtest. If you can get satellite images of parking lots, you can upload the number of shoppers visiting public retail companies.
The tool works just like a custom formula, except that it has two dollar signs in front of the name instead of one. So you can use stock factors in screens, ranking systems, and simulations—everywhere you can use a custom formula. If a ticker changes, you don’t have to reload the file: all the data is stored based on the ticker ID.
Have fun with these new tools, and let us know what you think.