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Yes, but only at short lags. In this paper we investigate the relationship between factor momentum and stock momentum. Using a sample of 72 factors documented in the literature, we first replicate earlier findings that factor momentum…

Statistical Finance · Quantitative Finance 2020-09-11 Antoine Falck , Adam Rej , David Thesmar

We hypothesize that portfolio sorts based on the V/P ratio generate excess returns and consist of companies that are undervalued for prolonged periods. Results, for the US market show that high V/P portfolios outperform low V/P portfolios…

Econometrics · Economics 2025-06-03 Ahmad Haboub , Aris Kartsaklas , Vasilis Sarafidis

This paper aims to test the relationship between investor sentiment and the profitability of stocks listed on two emergent financial markets, the Moroccan and Tunisian ones. Two indirect measures of investor sentiment are used, SENT and…

Portfolio Management · Quantitative Finance 2025-09-16 Chniguir Mounira , Henchiri Jamel Eddine

In the past 20 years, momentum or trend following strategies have become an established part of the investor toolbox. We introduce a new way of analyzing momentum strategies by looking at the information ratio (IR, average return divided by…

Statistical Finance · Quantitative Finance 2014-07-09 Fernando F. Ferreira , A. Christian Silva , Ju-Yi Yen

We extract cyclic information in turnover and find it can explain the momentum echo. The reversal in recent month momentum is the key factor that cancels out the recent month momentum and excluding it makes the echo regress to a damped…

General Economics · Economics 2023-04-10 Haoyu Wang , Junpeng Di , Yuegu Xie

This study presents an analytical approach to sector rotation, leveraging both factor models and fundamental metrics. We initiate with a systematic classification of sectors, followed by an empirical investigation into their returns.…

Portfolio Management · Quantitative Finance 2024-01-02 Runjia Yang , Beining Shi

Customer loyalty is crucial for internet services since retaining users of a service to ensure the staying time of the service is of significance for increasing revenue. It demands the retention of customers to be high enough to meet the…

Social and Information Networks · Computer Science 2017-10-20 Junhua Chen , Wei Zeng , Ge Fan , Junmin Shao

Based on empirical evidences and previous studies, we introduce and mathematically study a perception-driven model for the dynamics of buyer populations in markets of perishable goods. Buyer behaviours are driven partly by some loyalty to…

Theoretical Economics · Economics 2024-07-23 Ali Ellouze , Bastien Fernandez

We reverse-engineer the equilibrium construction process of asset prices in order to obtain returns which depend on firm characteristics, possibly in a linear fashion. One key requirement is that agents must have demands that rely…

General Finance · Quantitative Finance 2022-03-16 Guillaume Coqueret

Behavioral theories posit that investor sentiment exhibits predictive power for stock returns, whereas there is little study have investigated the relationship between the time horizon of the predictive effect of investor sentiment and the…

Econometrics · Economics 2018-03-20 Yong Jiang , Zhongbao Zhou

We study the problem of optimal long term portfolio selection with a view to beat a benchmark. Two kinds of objectives are considered. One concerns the probability of outperforming the benchmark and seeks either to minimise the decay rate…

Probability · Mathematics 2017-12-04 Anatolii A. Puhalskii

The methodology presented provides a quantitative way to characterize investor behavior and price dynamics within a particular asset class and time period. The methodology is applied to a data set consisting of over 250,000 data points of…

General Finance · Quantitative Finance 2020-04-22 Gunduz Caginalp , Mark DeSantis

Our study focuses on determining the presence of abnormal returns for physical momentum portfolios in the context of the Indian market. The physical momentum portfolios, comprising stocks from the NSE 500, are constructed for the daily,…

Portfolio Management · Quantitative Finance 2023-02-28 Naresh Kumar Devulapally , Tulasi Narendra Das Tripurana

The goal of this paper is to explore the relationship between momentum effects and liquidity in cryptocurrency markets. Portfolios based on momentum-liquidity bivariate sorts are formed and rebalanced on a varying number of cryptocurrencies…

General Finance · Quantitative Finance 2019-04-02 Stjepan Begušić , Zvonko Kostanjčar

It is of high interest for a company to identify customers expected to bring the largest profit in the upcoming period. Knowing as much as possible about each customer is crucial for such predictions. However, their demographic data,…

Machine Learning · Computer Science 2018-03-30 Jelena Stojanovic , Djordje Gligorijevic , Zoran Obradovic

In the seminal work [9], several macroscopic market observables have been introduced, in an attempt to find characteristics capturing the diversity of a financial market. Despite the crucial importance of such observables for investment…

Probability · Mathematics 2018-02-13 Sergio A. Almada Monter , Mykhaylo Shkolnikov , Jiacheng Zhang

We analyze characteristics' joint predictive information through the lens of out-of-sample power utility functions. Linking weights to characteristics to form optimal portfolios suffers from estimation error which we mitigate by maximizing…

General Finance · Quantitative Finance 2024-02-05 Christopher G. Lamoureux , Huacheng Zhang

This paper investigates the time-varying risk-premium relation of the Chinese stock markets within the framework of cross-sectional momentum and contrarian effects by adopting the Capital Asset Pricing Model and the French-Fama three factor…

Statistical Finance · Quantitative Finance 2017-07-19 H. -L. Shi , W. -X. Zhou

We introduce various quantitative and mathematical definitions for price momentum of financial instruments. The price momentum is quantified with velocity and mass concepts originated from the momentum in physics. By using the physical…

General Finance · Quantitative Finance 2014-08-21 Jaehyung Choi

We analyze correlations among stock returns via a series of widely adopted parameters which we refer to as explanatory variables. We subsequently exploit the results to propose a long only quantitative adaptive technique to construct a…

Statistical Finance · Quantitative Finance 2018-09-20 Ludovico Latmiral
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