The thing is, it is a lot harder to
produce return on assets than return on equity.
Not exact matches
Of course, a person who truly practices restraint might take things a bit further, deciding never to splurge at all
on something like a vehicle that will depreciate, and instead investing in
assets that will ultimately
produce returns.
She relies
on a database of 1,000 simulations of future
returns to conclude that, 75 years from now, a Social Security trust fund portfolio that includes stocks will
produce a healthy ratio of
assets to benefits, while a trust fund consisting of only bonds will be completely exhausted.
Based
on our research, none of these
asset classes are likely to
produce the same type of double - digit
returns that investors have enjoyed in recent years.
With this method,
assets are measured at their gross book value rather than at net book value in order to
produce a higher
return on equity (ROE).
High -
return assets that
produce a substantial amount of their
return through taxable income,
on the other hand, should be primarily held in tax - deferred accounts such as IRAs and 401 (k) s.
The end result was a collection of capital
assets which are unlikely to ever
produce a decent
return on the original investment.
This allows NVR to be almost three times more efficient with its resources than Lennar, and although Lennar has a higher profit margin, NVR
produced a much better
return on assets.
What's interesting about this comment, is Klarman has been able to
produce really solid
returns on a very large amount of capital, and I think it's in large part because of the simple math of
asset turnover — Klarman buys bargains, waits for them to be valued at a more reasonable level, sells them, and repeats.
A lemonade stand that
produces $ 20 of earnings and has $ 100 worth of
assets (the stand, the small square of front lawn, the inventory of lemonade, etc...) is
producing a 20 %
return on assets.
Different
asset classes are usually
on different market cycles, which means they
produce their strongest
returns at different times.
Income
assets produced positive
returns,
on average, in rising rate environments, with the exception of government and corporate bonds.
I plan
on holding my PRXI shares for at least another year, but if management isn't able to
produce a decent
return on the Titanic
assets, or goes making some crazy investment in a non-core business, I'll know its time to move
on, that is, take my capital and run to the nearest exit.
He believed that businesses with sustained
returns on assets (lasting for years, not months)
produce superior investment
returns.
Importantly, however, the company has a long track record of
producing significantly above - average
returns on its
assets and thus — while previous investment
returns are no guarantee of future performance — we believe it is appropriate to factor above - average yields into intrinsic value.
I don't particularly like these business models, as they tend to
produce mediocre
returns on capital over the full cycle, but occasionally they do offer opportunities to buy them well below their net
asset values.
We found the do - nothing portfolio
produced slightly better results than from either investor
returns or a straight average of
returns in every
asset class except for fixed income, where investor
returns came out
on top.
After all, over the long term they have
produced better
returns on average than other
assets.
Those are unlevered stock
returns (remember, bonds and other lower
producing assets made up part of Berkshire's
asset base which lowered
returns on assets).
The Company's cornerstone
asset remains the 5 % net smelter
return (NSR) royalty
on the world class and long - life Canadian Malartic gold mine (Canada's largest
producing gold mine) and its 2 to 3.5 % NSR royalty
on the world class Éléonore gold mine.
Further, when using whole life for infinite banking the
returns on your money can be astronomical, as you use your policy's cash value to purchase other income
producing assets or to recapture interest that would otherwise go to a financial institution.
Sagicor's fixed indexed single premium whole life insurance policy can allow the policyholder to reposition certain low - interest
producing assets such as CD's (certificates of deposit), or money markets — and possibly even a fixed annuity — and obtain the opportunity to earn a higher
return on the cash value in the policy.
With other traditional investment
assets such as real estate and gold underperforming in the recent years, investing in a revolutionary technology, Bitcoin
produced a staggering
return on investment for the investors.
• Verify the accuracy of invoices and checks and post relevant information in predefined accounting databases • Prepare and submit invoices and handle payments • Coordinate cash and check deposit activities • Sort and enter accounts payable and receivable data into company database • Prepare and
produce accurate financial statements such as balance sheets • Maintain record of
assets and liabilities and complete and deposit tax
returns • Reconcile bank statements and manage cashbook management
on a daily basis • Issue and maintain records of petty cash • Audit accounts to ensure accuracy and address any discrepancies found during auditing procedures • Process refund requests and reconcile monthly statements • Post details of business transactions including received and disbursed funds • Type vouchers, invoices, bank drafts, checks and reports • Post cash receipts and expenses in designated accounts software • Report accounting discrepancies to supervisors and assist in resolving them and any issues that customers may have with their accounts • Compile and maintain financial records of the company by recording and summarizing data • Keep record of business transactions, compute costs and verify bills • Create statistical records by combining data and performing computations • Prepare payrolls and transfer employees» salaries to their accounts
on a monthly or bi monthly basis • Manage day to day internal controls and arrange for purchase orders to be prepared
I prepared spreadsheets showing various scenarios of potential, probable, and possible
return on investment and capitalization rates [a measure of the ratio between the net operating income
produced by an
asset and its capital cost rate].
Assets like these can produce cap rates typically between 8 - 13 % ROI and the highest cash on cash returns are typically found in all - cash assets that can be acquired for $ 35,000 — $ 6
Assets like these can
produce cap rates typically between 8 - 13 % ROI and the highest cash
on cash
returns are typically found in all - cash
assets that can be acquired for $ 35,000 — $ 6
assets that can be acquired for $ 35,000 — $ 65,000.