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 '2021', UTG's return on equity was 11.6%, measuring profitability for shareholders. Industry average for Investment Managers in '2021' stood at 17.9%.
• In '2022', UTG's return on equity was -10.7%, measuring profitability for shareholders. The decline from '2021' may indicate some operational or financial challenges. Industry average for Investment Managers in '2022' stood at -5.3%. Industry average declined by 23.2% from previous year.
• In '2023', UTG's return on equity was -3.8%, measuring profitability for shareholders. The increase since '2022' reflects strengthening financial performance. Industry average for Investment Managers in '2023' stood at 10.1%. Industry average increased by 15.4% compared to previous year.
• In '2024', UTG's return on equity was 36.4%, 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, UTG's return on equity has been volatile but showed an upward trend over the past 4 years.

Formula: ROE = Net Income / Shareholders' Equity

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