> ## Documentation Index
> Fetch the complete documentation index at: https://docs.tqx.ai/llms.txt
> Use this file to discover all available pages before exploring further.

# Turn a factor into a strategy

> Convert a factor into a selectable strategy after reviewing and confirming the proposal.

A factor produces a value or signal. A strategy adds a universe, ranking or selection rule, rebalancing, position sizing, and exits. Qube keeps this conversion explicit so you can review the assumptions before creating a strategy.

## Conversion flow

<Steps>
  <Step title="Analyze the factor">
    Create and analyze a factor for a supported market. Review its direction, coverage, and stability.
  </Step>

  <Step title="Request a strategy proposal">
    Ask Qube to turn the factor into a strategy. Qube shows the factor, market, and proposed selection and risk parameters.
  </Step>

  <Step title="Confirm the proposal">
    Review the proposal before confirming. The proposal stage does not create a strategy or start a backtest.
  </Step>

  <Step title="Create and backtest">
    After confirmation, Qube generates a market-specific strategy and saves its first version. Run a backtest to evaluate the generated rules.
  </Step>
</Steps>

## Parameters you may review

| Parameter                 | Meaning                                                            |
| ------------------------- | ------------------------------------------------------------------ |
| Rebalance period          | How often the strategy refreshes the selected portfolio.           |
| Top N                     | How many instruments the strategy selects.                         |
| Factor direction          | Whether higher or lower factor values are preferred.               |
| Weighting                 | Equal weighting or factor-based weighting.                         |
| Position cap              | Maximum allocation to one instrument.                              |
| Take-profit and stop-loss | Optional exit thresholds.                                          |
| Minimum holding period    | Minimum time to hold before an exit rule can trigger.              |
| Universe                  | The market-specific set of instruments considered by the strategy. |

<Note>
  The generated strategy is a new strategy object. Later factor edits do not silently change its code; create and review a new version when you want to update it.
</Note>