Enterprising Investor
Practical analysis for investment professionals
mag-glass
11 January 2012

Take 15: ROE: The Wrong Performance Measure for Banks

By
Posted In: Equity Investments, Performance Measurement & Evaluation

Robert Jenkins, FSIP, cites the flaws in the traditional return on equity (ROE) measure in measuring bank financial performance and proposes some much needed alternatives.


This episode of the Take 15 Series was originally released on 28 December 2011.

Are you viewing this post on a mobile device? Download the CFA Institute app from iTunes or Android Market to watch this and other videos.

Tags: , , , ,

Share On
About the Author(s)
Ed Bace, CFA

Ed Bace, CFA, was previously head of education for the Europe, Middle East, and Africa (EMEA) region at CFA Institute. He has also served as a professor of finance at BPP Business School. Bace has more than 20 years of experience in international finance, including roles with the European Bank for Reconstruction and Development, Lehman Brothers, and Standard & Poor’s. He holds an MBA in finance and international business from New York University.

Leave a Reply

Your email address will not be published. Required fields are marked *

UNCERTAIN FUTURES

7 Myths about Millennials and Investing

Learn More
Upcoming Conferences
Wealth Management 2019 Conference
Hosted by CFA Society South Florida
2–3 April 2019
Fort Lauderdale, Florida, United States
72nd CFA Institute Annual Conference
Disruption: The New Reality in Investment Management
12–15 May 2019
London, United Kingdom
CFA Institute Seminar for Global Investors
Improving Investment Decisions
22–25 July 2019
Chicago, Illinois, United States
23rd Annual GIPS Standards Conference
Hosted by CFA Society Phoenix
11–12 September 2019
Scottsdale, Arizona, United States

Subscribe to Enterprising Investor and receive email notifications when new content is posted.

Subscribe Now
Curated Global Headlines by SmartBrief.com
Trump's border emergency declaration challenged by 16 states

Sixteen states have filed a lawsuit alleging President Donald Trump's emergency declaration aimed at providing money to build a wall along the US-Mexican border is unconstitutional. The states said diverting money from other programs will harm their economies, prevent upgrades of military bases and damage drug-fighting efforts. The Associated Press (19 Feb.)

Juncker: EU would allow Brexit delay through May

Postponement of Brexit to after the European Parliament election in May is an option that can't be ruled out, European Commission President Jean-Claude Juncker says. "If such a request were to be made [by the UK], no one in Europe would oppose it," he says. Politico (18 Feb.)

ESMA would grant UK clearinghouses licenses in no-deal Brexit

The European Securities and Markets Authority says it will immediately let LCH, ICE Clear Europe and LME Clear provide services in the EU if a no-deal Brexit occurs. Financial News (UK) (subscription required) (18 Feb.)

More Headlines


By continuing to use the site, you agree to the use of cookies. more information

The cookie settings on this website are set to "allow cookies" to give you the best browsing experience possible. If you continue to use this website without changing your cookie settings or you click "Accept" below then you are consenting to this.

Close