Turnover

Share Turnover — Datar Naik and Radcliffe 1998

Liquidity

Quick facts

Factor ID Turnover
Display name Share Turnover
Family Predictor
Category Liquidity
Direction lower_expected_return
Status supported
Paper Datar Naik and Radcliffe 1998
Source tables daily_basic
Required fields turnover_rate
PIT required no
Coverage 2010-02-03 – 2026-05-15 · 679,537 rows · 99.2% of panel

Formula

mean(turnover_rate over t-21 through t-1)

Average share turnover rate over the prior month.

China adaptation

Use Tushare turnover_rate when available to avoid free-float reconstruction errors.

Direction-adjusted cumulative return

0.97 2.21 3.45 4.68 5.92 2010-02 2014-02 2018-03 2022-04 2026-04

Return metrics

Metric Value
Months in sample 195
Monthly mean 0.9530%
Monthly std 5.1143%
Annualized Sharpe 0.65
t-stat (simple) 2.60
Hit rate (months > 0) 60.0%
Last 12M compounded -7.57%
Cumulative wealth (start = 1) 4.941

Recent 12 months

Month L/S return Cumulative Names
2025-05 -3.32% 5.169 5129
2025-06 +3.37% 5.343 5140
2025-07 -2.19% 5.226 5143
2025-08 +2.79% 5.371 5147
2025-09 +3.50% 5.560 5150
2025-10 +0.60% 5.593 5154
2025-11 -0.41% 5.570 5162
2025-12 -1.35% 5.495 5168
2026-01 -3.01% 5.330 5179
2026-02 +5.78% 5.638 5180
2026-03 -6.22% 5.287 5187
2026-04 -6.54% 4.941 5175

Known data issues

Tushare turnover_rate_f had extreme vendor artifacts so total turnover is preferred.

Notes

Speculative turnover is central in China retail-trading literature.

See also: Liquidity family, Factor library, Factor returns.