Strategy succeed in identifying winner and loser stocks in Asian bank sector for 1-year holding period

For our 1 year stock selection strategy, our back-testing reveals that our selected winner stocks mostly outperform loser stocks (except in the months at the end of 2002 and at the beginning of 2003).

It is important to note that, winner and loser stocks are not always identified in every month. For some months, there are no winner, or loser stocks. That's why you the line is broken.

How to read the chart? For any month, say Jan 2000, the readings for winner stocks and loser stocks are -60 and 55. This means, over a 1-year period started from March 2000 to Feb 2001, our winner stocks produced an average total sharehoder return of 55%, while meanwhile, loser stocks have a 1-year holding period return of close to -60%.

As the 1-year period is not over yet by now, so we don't have data for those winner and loser stocks that we selected after November 2008.

Please click here to know our back-testing methodology.