Hi everyone,
I’ve try the ranking system: quite usefull indeed.
I have some question about it.
Is it possible in the universe to exclude stocks for example with a condition like ROE%TTM = NA or something like this ?
Before running the ranking system, to limit the universe ?
I do not really understand how the boolean variable works: could you explain me ?
If i put a weight of 20% on such a condition, what does it do ?
I’m not sure about the link between the graphic and the ranking. I mean, if i want to know the stocks that form the first 1% of the ranking graphics (the first column on the left, just after the column representing SP500), do i have to look for the high level stocks or to the low level one ? (i mean in the graphic, it is indicate 0-1 but is it the percentage of ranking or the result of the stock that has such score ?).
What does mean # NA’s Final Stmt and 100% Stock Rank (ok for the last one i may guess it).
Thanks if you can answer to me. As i’m not native english speaker, sometimes obvious things for you may be weird for me … and conversely !
Best and have profitable investments
Yes, you can create a custom universe under “Research - Components - Universe” and use rules to restrict you universe prior to ranking. Below is a screenshot of the rules restricting one of my main universes. You could input a restriction on ROE if you wanted, depending on use case.
If it’s helpful, there is a section for introduction to backtesting and ranking systems that I found helpful when learning how the ranking systems worked. It took a while to go through, but helped me understand.
Yes. Click on Research, then Universes, then New, then Stocks. You want to add the rule ROE%TTM != NA. If you’re using All Fundamentals as your starting universe, you should also add some minimum liquidity rules; otherwise, choose a more restricted universe.
This is a true/false node. For example, if I wanted over-the-counter stocks to have lower ranks than stocks listed on the main exchanges, I could create a Boolean node with the formula Universe(NOOTC) = true. Or if I wanted stocks from Argentina and Russia to have lower ranks than other stocks, I could create a Boolean node with the formula Country(“ARG RUS”) = false.
The bar immediately to the right of the S&P 500 is the performance of the stocks that rank lowest (worst) on your ranking system.
NA’s means the number of nodes which either have zero weight or for which there’s no information available for that particular stock. If you use the “Include Composite & Factor Ranks” setting, it’s the number of rectangles that are white.
Final Stmt means that the stock has filed its most recent quarterly or semiannual report with the SEC.
100% Stock Rank is the overall rank of the stock, taking into account all the nodes.
