NetWorkingCapital
Net Working Capital / Assets — Soliman 2008
Leverage
Quick facts
| Factor ID | NetWorkingCapital |
| Display name | Net Working Capital / Assets |
| Family | Predictor |
| Category | Leverage |
| Direction | lower_expected_return |
| Status | supported |
| Paper | Soliman 2008 |
| Source tables | — |
| Required fields | — |
| PIT required | yes |
| Coverage | 2010-04-27 – 2026-05-15 · 664,885 rows · 97.1% of panel |
Formula
networking_capital / total_assets
China adaptation
No adaptation note.
Direction-adjusted cumulative return
Return metrics
| Metric | Value |
|---|---|
| Months in sample | 193 |
| Monthly mean | -0.2569% |
| Monthly std | 2.9864% |
| Annualized Sharpe | -0.30 |
| t-stat (simple) | -1.20 |
| Hit rate (months > 0) | 44.6% |
| Last 12M compounded | -17.20% |
| Cumulative wealth (start = 1) | 0.558 |
Recent 12 months
| Month | L/S return | Cumulative | Names |
|---|---|---|---|
| 2025-05 | -3.55% | 0.650 | 5027 |
| 2025-06 | -0.44% | 0.647 | 5037 |
| 2025-07 | -3.71% | 0.623 | 5038 |
| 2025-08 | -1.16% | 0.615 | 5050 |
| 2025-09 | +0.90% | 0.621 | 5057 |
| 2025-10 | +1.32% | 0.629 | 5060 |
| 2025-11 | -3.93% | 0.604 | 5064 |
| 2025-12 | -0.53% | 0.601 | 5077 |
| 2026-01 | -1.09% | 0.595 | 5076 |
| 2026-02 | +3.77% | 0.617 | 5081 |
| 2026-03 | -6.03% | 0.580 | 5082 |
| 2026-04 | -3.84% | 0.558 | 5083 |
Known data issues
None recorded.
Notes
None recorded.
See also: Leverage family, Factor library, Factor returns.