Value and Bivariate Sorts with R

library(tidyverse) library(arrow) In this chapter, we extend univariate portfolio analysis to bivariate sorts, which means we assign stocks to portfolios based on two characteristics. Bivariate sorts are regularly used in the academic asset pricing literature and are the basis for the factors in the Fama-French three-factor model. However, some scholars also use sorts with three grouping variables. Conceptually, portfolio sorts are easily applicable in higher dimensions. We form portfolios on...