What is Decile?

Decile Rank is the only number on a scale of 1 to 10, which corresponds to a percentage, usually ten percent points. For example, the Decile five could mean a top 50%, or one would mean a 10%decile. This type of evaluation can be used to determine the quality of investment or school ranking.

Decile position is a comparative rank where the performance is measured against other similar things. For example, in mutual funds, each fund would receive an evaluation based on their performance against other funds. Thus, the decile -the value of the two would usually mean that the mutual fund was in the highest 20% at return. This could be considered a better investment than a mutual fund with a decile rank of three or four.

This comparison is done over time, so a mutual fund that has a good month or two revenues at the same time. Usually, if you analyze investment by Decile Rank, you want to understand the amount of time discussed. Is the evaluation the result of the comparison of the month, the year, the two years and the Cetera?

, however, longer time may be a little misleading because the performance is diameter at all times. Mutual fund could work really for half a year and then a sudden decline in performance, which does not have to be tremendously manifested in a rank. Knowing how the fund is currently compared to other funds and how it has appeared over time will help you understand if you are doing a good investment.

It also helps to know what types of funds are compared because many of them have different investment strategies. Sometimes all mutual funds are compared without this consideration, which is called everything. Other times, only mutual funds that have a type of investment strategies are measured against each other, called objective rank.

You will also notice the concept of Decile position when people discuss school evaluation. In this case, the evaluation may be positive or negative, depending on what is compared. For example, schools can be a throwNOCENY DECILEMI based on the percentage of education of children who are English students or who have low socio -economic status. In this case, the highest rating of one or two may mean that the school has a very high percentage of children of this type, rather than a low percentage.