1 For example, a given condition is any index of CSI 300 or CSI 500, where the PE quantile is between 0-50% and the PB quantile is between 0-20%. Then we can determine whether the current market as a whole is not overvalued and whether we can invest in the market. Quantile indicates the position of the current value in the past ten years. Simply put, it represents the current ranking of the company.
2. For example, a class of 40 students starts with Xiaoming's exam. In other words, his percentage is 100%, which is the highest. If it is 20, the percentage is 50%, which is in the middle. If it is the last one, it is 0%, which is the lowest score in this test. Therefore, when we encounter the situation that the quantile is 0, it means that this value is at the lowest position in recent ten years, but seeing these data does not mean that the position will not decrease, because when we judge according to the previous historical data and information, it is still possible to decrease.
Weather, location and human harmony are what we often say in the investment field. In short, we have always maintained a good attitude by choosing a very suitable opportunity to buy reasonable corporate stocks. Now, our first step is to choose a suitable time to enter the market, so as to prevent everyone from choosing the wrong time because the market is booming. 800 companies in Shanghai and Shenzhen 300 Index and 500 Index are the largest A-share listed companies, and small and medium-sized enterprises are the vane of the whole stock market, so we use the percentiles of the two indexes to determine the entry time.
4. Why 0-50% and 0-20%? What's special about these two time interval values? First of all, we should look at this value, which is a reasonable interval value that our long-term investment researchers can get for bosses according to the overall performance of CSI 300 and CSI 500 in several bull markets in China history. Of course, you can say 0-40% or 0- 10%, but this will narrow the scope of investment opportunities. So this belongs to a vague and correct range. The first step is to judge whether the development opportunity is reasonable, which is the same as fishing. The first step is to cast a big net. Since you want to catch big fish (white horse stocks), you must catch as many big fish as possible, so this step should not be too harsh, and the indicators should be loose, but there are also small shrimps in it.