[[Start here]] → [[Sources]] → Combining Factors
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Christoph Reschenhofer published the paper Combining Factors in 2022. His analysis has many insights for investors who are using factor-based stock selection models (like the StockRanks we publish at Stockopedia).
One of the key rules of thumb I’ve intuited from the paper is what I call the 90/70 rule. Read up below.
* [[buy stocks at a rank above 90, sell below 70]]
![[Reschenhofer - Combining Factors.png]]
You can find the paper on [ssrn](https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4695086#:~:text=This%20paper%20explores%20how%20firm,market%20or%20single%20factor%20portfolios.).