Last Updated on Dec 14, 2021 by Aradhana Gotur
Hand-picking stocks and ETFs to invest from thousands listed on the NSE is not an easy ordeal. First, you need to come up with an idea or theme based on which you want to filter stocks/ETFs. Then, you need to apply filters that help screen them based on the idea. Finally, you need to research the filtered stocks/ETFs individually to make a decision. While this is an interesting process that aids you make well-informed investment decisions, it is highly time-consuming.
We at Tickertape, strive to make investing a rewarding and fulfilling yet a simple process for you. That’s why we launched Pre-Built Screens, readymade stock filtering tools that simplify screening stocks and ETFs. This article focuses on the same: Pre-built Screens. But before understanding how Pre-built stocks can delight your ETF and stock investment experience, let’s learn more about Screener, a premise to understand Pre-built Screens.
Table of Contents
What is Screener?
One of Tickertape’s most loved-products, the Screener filters stocks based on your chosen ratios and metrics. Screener has a collection of 130+ filters including Stock Universe, Sector, Market Capitalization, Profitability ratios, and Valuation ratios. Once you set the filters, what you see on the right-hand side is a list of stocks that are a result of applying your chosen filters.
Premise for Pre-built Screens: investing based on an idea or a theme
More often than not, when filtering stocks and ETFs, you start with an idea. This not only gives a direction to your stocks or ETFs selection process but also helps you quickly and mindfully pick those that complement your investment objective.
Let’s say you are looking to invest in largecap IT stocks that aren’t heavily funded with debt and have ample current assets to meet their short-term liabilities. That’s an idea—to invest in companies that are majorly funded with equity and less of debt, and can repay their current liabilities using their current assets.
To arrive at such stocks, you need to filter all the listed companies based on 4 parameters: sector, market cap, debt to equity and current ratios. Here’s how you can do it by using Screener by Tickertape:
- Launch Tickertape’s Screener
- Select “Information Technology” under ‘Sector’ filter
- Select “Largecap” under ‘Market Cap’ filter
- Add “debt to equity ratio” and “current ratio” available in the filter panel under ‘Financial Ratios’ metric
- Set “Low” level for debt to equity ratio and “High” level for current ratio
- Evaluate each of the resultant IT stocks for a detailed analysis before making an investment decision
Filtering stocks using Screener by Tickertape based on your favourite metrics is that simple. But what if you are a newbie in financial markets and have no idea about the metrics that go in filtering stocks/ETFs based on an idea? And what if you are a seasoned investor looking to quickly filter stocks/ETFs based on an interesting or a customised idea? Well, you can use Tickertape’s Pre-built Screens.
What are Pre-built Screens?
A Pre-built Screen is a smart solution to discover stocks and ETFs based on an idea or a specific theme. Meaning, you simply launch one of the Pre-built Screens whose idea or theme is in line with your investment objective and there, the screener will filter and return stocks/ETFs accordingly. Thus, you save time in researching filters to add and the levels of the metrics to be set to get the resultant stocks/ETFs.
How to access Pre-built Screens?
Launch Tickertape’s Screener
On the top header, select “All Screens” tab
Choose the one that meets your investment objective and start an in-depth evaluation of each filtered stock. For instance, let us load Near 52W Lows Screen. Here’s how it looks.
Types of Pre-built Screens
Tickertape has 4 types of Pre-built Screens:
- Saved: for users who want to build custom Screens
- Basic: readymade Screens free for all users
- Premium: ready-made Screens for Tickertape Pro members only
- F&O Screens: filters stocks based on trade information of Futures and Options
As mentioned, each of the readymade Screens built by Tickertape follows an idea. For instance, Cash Rich Largecaps are Profitable Largecap companies with growing cash flow and earnings. Jamaican Sprinters are stocks experiencing strong price momentum. You can learn more about each of the Pre-built Screens and filters used in building them by clicking on one of the “See All” buttons.
Now click on each of the Basic and Premium Screens to learn more.
Building your own Screen on Tickertape
Tickertape also allows you to custom-make your own Screen. For this example, let us create a Screener to filter ETFs having low cost and tracking error. These are the steps:
- Launch Tickertape’s Screener. What you see is a “New Screen”
- From the “Filter Panel”, select ETFs. Then choose “Expense Ratio” and “Tracking Error” and click on the ‘Done’ button
- After adding these ratios, set ‘Low’ level for both Expense Ratio and Tracking Error. Alternatively, you can enter the figures manually
- Click on “Save” to save the Screen. Give the Screen an appropriate name and description before saving it. Let’s call this one “Low-cost ETFs” and describe it as “A screener that returns NSE-listed ETFs having a low expense ratio and tracking error”
- For the final time, click on the “Save” button to save “Low-cost ETFs” Screen. You can access it under “Saved Screen” under “All Screens” tab
That’s it, folks! This is how Tickertape’s Pre-built Screens help you discover stocks based on your chosen parameters without having to spend long hours in research. Let us know how you like this feature of Tickertape and how likely you are to recommend the same to your friends and family 🙂