Return on equity on it’s own is not a KPI, it is a just an indicator. To be a PI you have to measure the indicator against another metric. In this case you measure return on equity against the cost of equity or against a target value of return on equity.
Thanks, yes, always helpful to compare with the past, peers and other metrics.
Cost of Equity in Zimbabwe is very subjective and can be hard to estimate or draw conclusions from. What would you say the cost of equity would be for Stanbic?
Return on equity on it’s own is not a KPI, it is a just an indicator. To be a PI you have to measure the indicator against another metric. In this case you measure return on equity against the cost of equity or against a target value of return on equity.
Thanks, yes, always helpful to compare with the past, peers and other metrics.
Cost of Equity in Zimbabwe is very subjective and can be hard to estimate or draw conclusions from. What would you say the cost of equity would be for Stanbic?