Weekly Small-Cap Stock Selection Within an Index Strategy

Summary

This strategy description proposes rebalancing on a weekly schedule, excluding suspended stocks, and investing equal amounts in selected shares. Its selection function queries stocks with market capitalization between 20 and 30 units in the platform’s valuation field, sorts them from smallest upward, filters paused names, and returns up to three candidates. The initialization also sets a large-cap index as the benchmark and specifies trading costs and volume limits. No stop-loss or take-profit rules are used.

The code is presented without backtest results, so it provides no evidence about returns or risk. There is also an apparent implementation inconsistency: the rebalancing routine iterates over all stocks in the benchmark index and submits target-value orders before calculating purchases, rather than clearly selling only current holdings. The documented selection universe and the order logic therefore need careful review before the strategy’s behavior can be inferred or reproduced.

Key ideas

• The proposed portfolio holds up to three low-market-cap stocks selected from a fundamentals query.
• The selection process filters suspended names and ranks eligible stocks by market capitalization.
• The strategy rebalances on a five-day counter and allocates available cash across new positions.
• The code’s order loop uses the full benchmark index list, which may not match the stated portfolio management intent.
• No stop-loss, take-profit, or performance evidence is supplied.

Tags

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