China Stock Screen Combining Turnover, Rising DEA, and 2019 Dividends

Summary

This post describes a Chinese equity screen requiring turnover between 3% and 12%, a rising DEA reading, and a 2019 dividend ratio above 25%. It presents the dividend condition as a way to focus on income-oriented companies, while turnover and the indicator are intended to reflect trading activity and short-term direction. The post includes example formula and Python-style selection logic.

No backtest, portfolio returns, or comparative evidence is supplied, so the screen’s effectiveness is not demonstrated. The post notes that dividend policies can change and that broad market moves can reduce returns; it suggests adding liquidity, market capitalization, and further indicators for a fuller selection process. The formula presented for DEA uses moving-average relationships, while the Python example filters on the change in a DEA field, so the precise implementation may differ between examples. The criteria describe a screen rather than a complete trading system, and would require validation and clear handling of dividend data and timing.

Key ideas

• The screen selects stocks with turnover from 3% to 12%, rising DEA, and a 2019 dividend ratio above 25%.
• The post combines a dividend filter with turnover and a short-term technical condition.
• No performance evidence or backtest results are provided.
• Dividend policy uncertainty and broad market movements are identified as risks.
• The formula and Python examples express the DEA condition differently, requiring implementation review.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.