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This unit is charged with earning returns on this money and also using these billions to hedge the enormous financial institution against bad events.
Another is for wages and thus prices to fall in Portugal and rise in Finland, boosting the demand for Portuguese products at the expense of Finnish ones.Another response is to make transfers from regions doing well to those doing badly either through governments or through individuals earning returns on foreign assets.
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But those same banks may earn returns on their assets which vary with interest rates.
If they are successful, China may earn returns on its investment abroad as well as at home.
Because they invested skills and knowledge in companies, managers felt that they should earn returns on those investments.
Barclays, albeit no RBS, is also a bank that has consistently failed to earn returns on equity greater than the cost of equity – the purest measure of whether a bank is earning its keep.
Profits, with the help of technology, will recover; the investment bank will earn returns on equity greater than Barclays' cost of equity for a change; and the principle of "pay for performance" can be re-introduced from a new base.
Where other such funds seek to earn returns on sovereign wealth, Mr. Dmitriev's Russian Direct Investment Fund seeks outside investments, often from foreign governments, for unglamorous infrastructure projects inside of Russia.
Financial firms earn returns on their investments by shouldering the risk that they might not be repaid.
When you reduce your assets at the beginning of retirement, you're reducing the overall amount of money you have working for you to earn returns on your investments.
"Our focus has been first and foremost on earning returns for our partners," he said.
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