Portfolio churn
Risk & psychologyThe rate at which holdings are replaced over a period.
High churn is the visible symptom of boredom. Across every market studied, the most active accounts underperform the least active.
Every term is defined twice: once the way a filing would put it, and once the way somebody would explain it to you across a table. The second one is usually the one that sticks.
Showing 3 terms
The rate at which holdings are replaced over a period.
High churn is the visible symptom of boredom. Across every market studied, the most active accounts underperform the least active.
Tracking customers grouped by when they were acquired, to see whether each group spends more or less as it ages.
The most informative disclosure a loss-making platform makes. Total user growth can hide complete failure underneath, because fresh acquisition keeps replacing churn.
Share of the day’s traded volume that was actually delivered into demat accounts.
Separates real buying from intraday churn. An 8% move on 12% delivery means almost nobody wanted to own it.