The lenders thus give up a potentially high pure equity return, but have less risk.
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Yet if you look at the ten years where Republicans had complete control, the average real equity return is still negative.
DiMicco's own compensation involves three-year performance metrics tied to return on equity, return on capital and revenue growth relative to steel industry peers.
Revenues have also increased each year since 2008, as has net income, return on equity, return on assets, operating margins, and net margins.
In order to do so, WisdomTree selects and weights 300 stocks in each portfolio that meet stringent long-term earnings growth expectations like return on equity and return on assets in addition to projected payout growth.
Although Goldman Sachs predicts that Japanese companies' average return on equity may quadruple to 8% over the next two years, this is still far below the 30% return on equity that American companies are expected to achieve this year.
Many are little more than real-estate operations, in which firms with offices fill space and get some potentially lucrative equity in return.
Such a public step would probably give the government no option but to force some executives to resign and to wipe out shareholders' equity in return for the fresh capital.
It perhaps would give Packer a backdoor to owning a piece of the Chicago company if Scoopon required some type of equity in return for the precious webname or buy Scoopon outright.
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My suggestion to him was that in the current environment he should eliminate all the high-coupon debt and replace it with 5% or 6% coupons carrying equity participation--give up some equity in return for much lower interest rates.
Besides profit, other financial targets include return on equity, cash flow and return on invested capital.
Companies typically borrow money at less than their return on equity and therefore compound their return at the expense of lenders.
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But hyperefficient ExxonMobil also earns a 21% return on equity, double PDVSA's return.
Among them: return on equity (ROE), and return on total capital (ROTC).
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But ExxonMobil earns a 21% return on equity, double PDVSA's return.
Other research has shown that venture-backed companies run by women have annual revenues 12 percent higher than those by men and that organizations that are the most inclusive of women in top management positions achieve a 35% higher return on equity and 34% higher total return to shareholders.
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Return on equity (ROE), calculated by dividing net income by shareholder equity during a particular period, measures the return that management has produced on the money invested into the business.
Companies with women on their boards have been proven to lead to a higher ROI: they enjoy a higher return on equity by over 53%, a higher return on sales by over 42%, and a higher return on invested capital by over 66%.
For his part, Kim Jin Man of Hanvit Bank is looking at the year 2000 to start making money - at least a 15% return on equity, compared with the minus 69.9% return in 1998.
By doing so balance sheets would improve and the community banks could raise private equity capital and return to the business of banking.
Getting an equity stake in return for capital is more complicated to understand and, while the reward can be greater, so, too, is the risk.
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Foreign equity markets should return near U.S. markets, although Europe may have the best shot for outperforming because it has been beaten down due the Greece default and other weak Eurozone nations.
Because the dividends on Laffer Shares would vary depending upon GDP growth rates, the markets would discount the expected cash flows at an equity rate of return, which is considerably higher than the interest rate on government bonds.
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This time around with debt markets collapsing and private real estate ever more dependent on large amounts of debt to maintain normal equity rates of return, it looks like private real estate values are in for a tumble.
An investment vehicle controlled by former American International Group chief Maurice (Hank) Greenberg claims the U.S. government singled out the insurer by taking a huge equity stake in return for bailout loans made during the 2008 financial crisis.
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To turn to a specific, currently relevant example, if fixed-interest bonds are bad, but equity investments are acceptable, then what if an investor buys a non-voting equity instrument whose return is based on profit shared between him and the venture--with any profit above 6% given to the venture as a "reward"?
The strategy I base on WarrenBuffettWarren Buffett's approach to investing likes Pacific Sunwear because it has a very strong brand name, strong earnings predictability (EPS rose in nine out of the last 10 years), no debt, 18.2% return on equity over the last 10 years, an 18.1% return on total capital over the last 10 years and a management that has earned shareholders 22.8% on retained earnings.
The strategy I base on Warren Buffett 's approach to investing likes Pacific Sunwear because it has a very strong brand name, strong earnings predictability (EPS rose in nine out of the last 10 years), no debt, 18.2% return on equity over the last 10 years, an 18.1% return on total capital over the last 10 years and a management that has earned shareholders 22.8% on retained earnings.
The bank has a return on equity rate of 10.4% in fiscal 2011, and a return on assets rate of 0.60% in 2011.
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