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More firms are setting explicit targets for return on equity.
Is that how he intends to stick by its targets for return on capital?
Setting targets for return on equity is common on Wall Street; nonetheless, the new incentive program gave O'Neal another reason to increase Merrill's exposure to risk.
It has also started to set tough internal targets for return on capital employed a revolutionary idea in a company where cross-subsidy between different divisions was ubiquitous and opaque.
PetroBras now has targets for return on capital and cost trimming.
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In 2001, the bank's chief executive, Sir James Crosby, set ambitious targets for returns to shareholders.
He has now delayed his targets for returns to shareholders and for cutting costs by a year, blaming low interest rates and the eight percentage point corporation tax surcharge announced by Osborne in his July budget.
The bank also slashed its targets for returns on equity, reflecting pressures on banks' profitability from regulations and subdued markets.American employers added just 96,000 jobs to the payrolls in August, a disappointing figure.
Both Barclays and Deutsche are lowering their targets for returns on equity, in Deutsche's case to just 12% after tax, well down on the 25% pre-tax target it once aimed for.There are two main reasons for the sharp falls in profitability at investment banks everywhere.
It was sticking to its target for return on equity, a measure of profitability, of 12 percent to 15 percent through 2016.
After all, the new bank's target for return on equity by 2000 is 15%, the same as its two components aim for now.
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CEO of Professional Science Editing for Scientists @ prosciediting.com