August 15, 2018

Equities Lab vs. Gurufocus: Which Backtest Software

 

This article pits Equities Lab and Gurufocus against each other, to determine which one deserves the individual investor’s loyalty. This is simple, once the criteria for a “good” backtesting tool is specified.

 

Investopedia.com states that backtesting is “the process of testing a trading strategy on relevant historical data to ensure its viability before the trader risk any actual capital.…

June 20, 2018

Death Crosses Don’t Work

OK, what is a death cross, and what do I mean by “it doesn’t work”? A death cross is a (very) vivid name for a short term moving average slipping below a longer term moving average.  Technical analysts love to sell when they see death crosses, and buy when they see golden crosses.…

June 6, 2018

F-Score and Equity Short-Term Reversals

Quantpedia Strategies

As I was recently looking around at other quantitative firms, I happened across Quantpedia. In the past we’ve spoken to Quantpedia and are actually featured on their website. However, this time around I was taking a look in their screener section and came across the “F-score and Equity short-term reversals”.…

March 26, 2018

How To Use Monte Carlo With The Piotroski Score

Henry Crutcher

How to analyze a factor without ranking in Equities Lab

Create a screen

Everything starts with creating a screen.  So, onward!

Name your screen

Screeners with names can be found later.  If you want to put your screens into categories, simply put MyCoolCategory: at the front.

Limit your stocks (marketcap)

You can type “Market Cap > 500m” here.  

March 2, 2018

The Amelia Bedelia Mutual Fund

Henry Crutcher

This how-to shows how to create a strategy in Equities Lab, and how to do some basic analysis of it. For humor value, we take the point of view of a children’s book character, named Amelia Bedelia, who has no common sense. We have all felt this way some times.

January 23, 2018

Importing Assignments – University Series

Sometimes it’s better to not reinvent the wheel. A number of our existing professors have allowed a few of their class assignments to be publicly available to other professors. You can import these assignments into your class environment and either use them as-is or change them to follow your syllabus. To do this simply follow the guide below – 

1.

January 23, 2018

Testing your homework assignments – University Series

Not all homework assignments are created equal. Courses get more difficult as time goes on, and as you push your students to not only understand the material but also implement what they’ve learned into real-world simulations some homeworks may become too complex for the standard user to successfully complete. 

In order to combat this we allow professors, like you, to try the homework assignments before they are assigned.

October 19, 2017

What is your definition of “high dividend?”

How high are “high” dividend stocks?

As the markets continue to lack volatility, a number of investors are attempting to find opportunities outside of the traditional growth stocks. This leads many of them to alternatives such as forex, options, etc. However, some investors are still attempting to find gains in the equity markets, and a number of them are doing so through looking for companies with exceptionally high dividend yields.…

June 22, 2017

Survivorship Bias – How does it work?

I was recently lurking around an online investment forum when the following post came up –

I recently ran an experiment where I generated random 7 to 50-stock portfolios from the 500 largest U.S. traded companies and measured their performance over the past 10 years. All of the randomly selected portfolios outperformed the S&P500 and BRK.B in terms of compound annual rate of return.

June 17, 2017

Monte Carlo Simulation – Advanced Investing

Monte Carlo Simulation

As investors, we all know that each investment we make comes with a certain amount of risk. We can decrease this risk by understanding all possible outcomes. Better yet, we can visualize each outcome through the use of a Monte Carlo Simulation. In a broad stroke definition – a Monte Carlo simulation allows for people to make informed quantitative decisions based on a range of possible outcomes.…