DuPont Analysis – performance breakdown by business levers?
What is DuPont Analysis? F. Donaldson Brown developed the DuPont Analysis framework in 1914, later popularised by DuPont Corporation in the 1920s. The DuPont analysis evaluates a company’s Return on
Loan to Deposit Ratio – how much is the banking lending it out?
What is the Loan to Deposit Ratio? Loan to deposit is a financial measure that investors and banks use to assess a bank’s economic health and liquidity. We calculate loan to deposit ratio
Financial Planning & Analysis – the backbone of a good business strategy?
Introduction In today’s dynamic business landscape, companies constantly seek ways to enhance their decision-making processes and drive sustainable growth. Here, Financial Planning and Analysis (FP&A) plays a crucial role in shaping
Credit Ratings – what’s the default risk in the business?
What is Credit Ratings? Credit Ratings is the assessment of an individual, business or state’s ability to repay its debt. Credit ratings provides third-party insights about the borrower’s creditworthiness and
Board of Directors – how is the governance model set up?
What is the Board of Directors ? The Board of Directors (BOD) is the governing body elected by shareholders to govern and guide the organisation’s work. The BOD works to maximise the
Sharpe Ratio – what’s the risk return trade-off we are dealing with?
What is the Sharpe Ratio? The Sharpe Ratio, also known as the Sharpe Index, was proposed by William Sharpe in 1966. Professor Sharpe derived a formula which compares the return on
Tax Shield – can you save some of it?
What is Tax Shield? Tax shield refers to the reduction in the value of the taxable income of an individual or a corporation. Individuals or businesses can claim a tax
Share Buyback – how much did we return to the shareholders?
What is a Share Buyback? Share Buyback, also called Share Repurchase, is a financial decision companies make to repurchase their outstanding shares from the market. A company may use the
Credit Spreads – how much default risk is priced in the bond?
What is Credit Spreads? Credit Spreads is an analytical strategy investors use to compare the yields or returns of two debt instruments with the same maturity. The objective of the
ESG – (Environment, Social & Governance) – how sustainable is the business?
What is ESG? The abbreviation ESG stands for Environment, Social and Governance. The Environmental, Social and Governance framework evaluates an organisation’s performance and practices on sustainability and ethical issues. Three Pillars of ESG