Name: Return on Equity (ROE)

Definition: ROE shows how much profit the company earns for its shareholders based on their invested equity. It’s one of the most watched profitability ratios. A consistently high ROE signals strong management and efficient use of shareholder capital. But artificially high ROE may sometimes be boosted by excessive debt.

Interpretation:
• In '2020', BYM's return on equity was 2.7%, measuring profitability for shareholders. Industry average for Investment Managers in '2020' stood at 30.7%.
• In '2021', BYM's return on equity was 6.8%, measuring profitability for shareholders. The increase since '2020' reflects strengthening financial performance. Industry average for Investment Managers in '2021' stood at 17.9%. Industry average declined by 12.8% from previous year.
• In '2023', BYM's return on equity was -2.6%, measuring profitability for shareholders. The decline from '2021' may indicate some operational or financial challenges. Industry average for Investment Managers in '2023' stood at 10.1%. Industry average declined by 7.8% from previous year.
• In '2024', BYM's return on equity was 3.9%, measuring profitability for shareholders. The increase since '2023' reflects strengthening financial performance. Industry average for Investment Managers in '2024' stood at 14.7%. Industry average increased by 4.6% compared to previous year.
Overall, BYM's return on equity has been volatile but generally stable over the past 4 years.

Formula: ROE = Net Income / Shareholders' Equity

Good Range: 10%-20% desirable for many industries.