YOU ARE HERE > Moneycontrol > Stocks > Glossary

Stocks

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

International

Return on Equity, also known as Return on Networth or Return on Shareholders Funds, indicates profitability of a company by measuring how much the shareholders earned for their investment in the company. The higher the percentage, the more efficiently equity base has been utilized, indicating better return to investors.

RoE is ratio of net income (available for equity shareholders) to average shareholders' equity.

RoE = ___________________Profit After Tax___________________

Equity Share capital + Free Reserves � Miscellaneous Expd.

E.g. If net profit is Rs.100 crore, Equity share capital is Rs.100 crore, Reserves and Surplus is Rs.900 crore, Miscellaneous Expd. Nil

RoE = 100___

100 + 900

Return on Equity is 10%.

Source: sptulsian.com

FAQs:

Am I required to sign any agreement with the broker or sub-broker?
Decide how much to invest
Financial Planning
How are Net Interest Margins (NIMs) calculated?
How do I know if the broker or sub broker is registered?
How do I know whether my order is placed?
How do I place my orders with the broker or sub broker?
How is NIM different from Spread?
How long it takes to receive my money for a sale transaction and my shares for a buy transaction?
In case of purchase of shares, when do I make payment to the broker?
In case of sale of shares, when should the shares be given to the broker?
Investing in equities
Is there any provision where I can get faster delivery of shares in my account?
Learn how to choose a stock
Monitor and review
power of compounding
Prepare to invest
Understand how the stock market works
What are Bonus Shares?
What are CRR and SLR with respect to banks?
What are Cumulative Convertible Preference Shares?
What are Cumulative Preference Shares?
What are DVR shares?
What are equity shares?
What are Participating Preference Shares?
What are preferece shares?
What are the charges that can be levied on the investor by a stock broker?
What are the prescribed pay-in and pay-out days for funds and securities for Normal Settlement?
What details are required to be mentioned on the Contract note issued by the Stock Broker?
What documents should be obtained from broker on execution of trade?
What does ISIN stand for wrt securities?
What does Open Interest mean?
What does Secondary Market mean?
What does 'In the Money', 'Out of Money', 'At the Money' mean, with respect to Call Option?
What does 'pari passu' mean?
What happens if I do not get my money or share on the due date?
What happens if the shares are not bought in the auction?
What is a Capital Market
What is a Money Market?
What is a Rolling Settlement?
What is a 'Call' option?
What is a 'Put' option?
What is an Account Period Settlement?
What is an Auction?
What is Arbitration?
What is ASBA, with respect to IPOs?
What is Capital Adequacy Ratio for banks?
What is Commercial Paper?
What is debt-equity ratio?
What is dividend payout ratio?
What is dividend yield?
What is enterprise value?
What is EPS?
What is free-float?
What is Margin Trading Facility?
What is meant by Unique Client Code?
What is meant by 'Right of first refusal'?
What is meant by 'Stoploss'?
What is Member -Client Agreement Form?
What is Record Date?
What is repo rate and reverse repo rate?
What is Return on Equity (RoE)?
What is Short Selling and Securities Lending & Borrowing?
What is STT?
What is swap ratio?
What is T2T segment on BSE?
What is the difference between cash EPS and EPS?
What is the difference between rights and bonus shares?
What is the difference between the primary market and the secondary market?
What is the maximum brokerage that a broker can charge?
What is the pay-in day and pay- out day?
What kind of details do I have to provide in Client Registration form?
What recourses are available to me for redressing my grievances?
Who is a broker?
Who is a sub broker?
Whom should I contact for my Stock Market related transactions?

Invest in bonds online

Stocks

International