Factor Profile and Index Composition
The financial data platform dashboard includes two visualization panels that synthesize the individual signal scores into high-level index characterizations: a five-axis radar chart for factor tilts and a dual-ring donut chart for index composition.
Factor Profile (Radar Chart)
Quote
“Your portfolio’s returns are overwhelmingly determined by your exposure to a few common risk factors.”
— Eugene Fama
The factor profile radar chart displays the average factor tilt of the selected index across five axes. Raw z-scores from daily and quarterly signal calculations are normalized to a 0–100 scale for visualization.
Radar chart axes
| Axis | Source |
|---|---|
| Value | Daily relative value z-scores (see daily-signal-scores) |
| Momentum | Daily momentum z-scores (see daily-signal-scores) |
| Sentiment | Daily sentiment z-scores (see daily-signal-scores) |
| Quality | Quarterly quality z-scores (see quarterly-signal-scores) |
| Governance | Quarterly governance scores (see quarterly-signal-scores) |
Interpretation: A larger filled area on the radar chart indicates a stronger overall index profile. Compare across indices to spot factor tilts — for example, one index may skew toward value while another skews toward momentum. This helps identify the dominant investment style embedded in each index.
Comparative Analysis
Overlay radar charts for different indices (e.g., a European equity index vs a US equity index) to identify which factor dimensions differentiate them most. A high-quality, low-momentum profile suggests a mature, stable index; high-momentum, low-value suggests a growth-oriented index.
Index Composition (Donut Chart)
The index composition donut chart is a dual-ring visualization showing how the index is constructed.
Ring breakdown
| Ring | What it shows |
|---|---|
| Outer ring | Individual stock weights (cap-weighted) |
| Inner ring | Sector allocation (aggregated stock weights) |
Weights are cube-root scaled for display so small-cap constituents remain visible alongside mega-cap names.
Weight Calculation
Stock weights use daily market capitalization. See scoring-methodology for the cap-weighting formula and weight capping for the free-float methodology and capping rules that constrain maximum weights.
Related
- daily-signal-scores for the daily factor components feeding the radar chart
- quarterly-signal-scores for the quarterly factor components
- scoring-methodology for normalization and weighting formulas
- weight capping for weight capping rules