Finance
•
Terminology
•
Stock market
•
Bank
•
Investment
•
Corporate finance
Ratio
Mathematical finance
Financial economics
Basic financial concepts
Audit
Financial accountancy
Fundamental analysis
Economic efficiency
METRIC
Financial ratio
A financial ratio (or accounting ratio) is a relative magnitude of two selected numerical values taken from an enterprise's financial statements. Often used in accounting, there are many standard rati...
P/E ratio
•
Dividend payout ratio
•
Leverage (finance)
P/E ratio
The price-to-earnings ratio, or P/E ratio, is an equity valuation multiple. It is defined as market price per share divided by annual earnings per share.
There are multiple versions of the P/E rat...
Dividend payout ratio
Dividend payout ratio is the fraction of net income a firm pays to its stockholders in dividends:The part of the earnings not paid to investors is left for investment to provide for future earnings g...
Leverage (finance)
In finance, leverage (sometimes referred to as gearing in the United Kingdom and Australia) is any technique to multiply gains and losses. Most often it involves buying more of an asset by using borro...
Hansen–Jagannathan bound
Hansen–Jagannathan bound is a theorem in financial economics that says that the ratio of the standard deviation of a stochastic discount factor to its mean exceeds the Sharpe Ratio attained by any por...
Price–sales ratio
Price–sales ratio, P/S ratio, or PSR, is a valuation metric for stocks. It is calculated by dividing the company's market cap by the revenue in the most recent year; or, equivalently, divide the per-s...
Bid-to-cover ratio
Bid-To-Cover Ratio is a ratio used to express the demand for a particular security during offerings and auctions. In general, it is used for shares, bonds, and other securities. It may be computed in ...
Incremental capital-output ratio
The Incremental Capital-Output Ratio (ICOR), is the ratio of investment to growth which is equal to 1 divided by the marginal product of capital. The higher the ICOR, the lower the productivity of cap...
H-index
The h-index is an index that attempts to measure both the productivity and citation impact of the published body of work of a scientist or scholar. The index is based on the set of the scientist's mo...
Sales density
Sales density is a measure of performance in retailing. It is the revenue generated for a given area of sales space, and is presented as a monetary value per square metre. The higher the figure, the m...
Risk-adjusted return on capital
Total expense ratio
The total expense ratio, or TER, is a measure of the total cost of a fund to the investor. Total costs may include various fees (purchase, redemption, auditing) and other expenses. The TER is calculat...
V2 ratio
The V2 Ratio (V2R) is a measure of excess return per unit of exposure to loss of an investment asset, portfolio or strategy, compared to a given benchmark.The goal of the V2 Ratio is to improve on exi...
Greeks (finance)
In mathematical finance, the Greeks are the quantities representing the sensitivity of the price of derivatives such as options to a change in underlying parameters on which the value of an instrument...
Capital adequacy ratio
Capital Adequacy Ratio (CAR), also known as Capital to Risk (Weighted) Assets Ratio (CRAR), is the ratio of a bank's capital to its risk. National regulators track a bank's CAR to ensure that it can ...
Average accounting return
The average accounting return (AAR) is the average project earnings after taxes and depreciation, divided by the average book value of the investment during its life.There are three steps to calculati...
Debt service coverage ratio
The debt service coverage ratio (DSCR), also known as "debt coverage ratio," (DCR) is the ratio of cash available for debt servicing to interest, principal and lease payments. It is a popular benchmar...
Infection ratio
In finance, the infection ratio describes the relationship between non-performing portfolios and the total loan portfolio. The infection ratio is used to work out the relationship between the non-perf...
Social return on investment
Social return on investment (SROI) is a principles-based method for measuring extra-financial value (i.e., environmental and social value not currently reflected in conventional financial accounts) re...
Debt-to-GDP ratio
In economics, the debt-to-GDP ratio is the ratio between a country's government debt and its gross domestic product (GDP). A low debt-to-GDP ratio indicates an economy that produces and sells goods an...
Debtor collection period
In accounting the term Debtor Collection Period indicates the average time taken to collect trade debts. In other words, a reducing period of time is an indicator of increasing efficiency. It enables ...
Debt-to-capital ratio
A company's debt-to-capital ratio or D/C ratio is the ratio of its total debt to its total capital, its debt and equity combined. The ratio measures a company's capital structure, financial solvency, ...
Net interest income
Net interest income (NII) is the difference between revenues generated by interest-bearing assets and the cost of servicing (interest-burdened) liabilities. For banks, the assets typically include com...
Total Expense Ratio
The total expense ratio, or TER, is a measure of the total cost of a fund to the investor. Total costs may include various fees (purchase, redemption, auditing) and other expenses. The TER is calculat...
Gross margin
Gross margin is the difference between revenue and cost before accounting for certain other costs. Generally, it is calculated as the selling price of an item, less the cost of goods sold (production...
Basic Earnings Per Share
Earnings per share (EPS) is the monetary value of earnings per outstanding share of common stock for a company.In the United States, the Financial Accounting Standards Board (FASB) requires EPS inform...
Beta (finance)
In finance, the beta (β) of an investment is a measure of the risk arising from exposure to general market movements as opposed to idiosyncratic factors. The market portfolio of all investable assets ...
Jaws ratio
The jaws ratio is a measure used in finance to demonstrate the extent to which a trading entity's income growth rate exceeds its expenses growth rate, measured as a percentage.Strictly speaking it is ...
Information ratio
The Information ratio is a measure of the risk-adjusted return of a financial security (or asset or portfolio). It is also known as Appraisal ratio and is defined as expected active return divided by ...
Operating leverage
Operating leverage is a measure of how revenue growth translates into growth in operating income. It is a measure of leverage, and of how risky, or volatile, a company's operating income is.
Ther...
Return on net assets
The return on net assets (RONA) is a measure of financial performance of a company which takes the use of assets into account. Higher RONA means that the company is using its assets and working capita...