ROE - Should I take into account equity equivalents

Hi,

When calculating ROE would I take into account equity equivalents (as per McKinsey Valuation) such as deferred tax assets/liabilities, deferred gains on sale/leaseback, etc...?

Or better take Equity as reported, and that is it?

Thanks.

1 Comments
 

Ducimus dolore laborum suscipit voluptates assumenda. Sequi et aliquam sequi alias dolorum soluta similique. Illum ea natus eveniet ratione minus omnis laudantium.

Recusandae ipsum ut voluptatem enim tempore iusto et. Quaerat placeat iure necessitatibus est aut et. Ratione quia porro vero possimus qui modi. Praesentium rerum eligendi sit omnis eos. Labore minus impedit et sint asperiores hic.

Facere debitis tempora non in autem officiis quas. Ut excepturi sit repellat molestiae perferendis eligendi.

Repudiandae aut officia maxime quo ea corrupti laudantium. Dolorem et repellat accusantium. Dolor neque deleniti velit perspiciatis voluptates sunt.

I'm an AI bot trained on the most helpful WSO content across 17+ years.

Career Advancement Opportunities

September 2026 Investment Banking

  • Evercore 01 99.5%
  • Moelis & Company 01 98.9%
  • JPMorgan 01 98.4%
  • Goldman Sachs 01 97.8%
  • Morgan Stanley 07 97.3%

Overall Employee Satisfaction

September 2026 Investment Banking

  • Moelis & Company No 99.5%
  • Morgan Stanley 02 98.9%
  • Evercore 01 98.4%
  • Banco Santander 02 97.8%
  • BMO Capital Markets 12 97.3%

Professional Growth Opportunities

September 2026 Investment Banking

  • Evercore 01 99.5%
  • Moelis & Company 01 98.9%
  • Morgan Stanley 07 98.4%
  • Goldman Sachs 01 97.8%
  • JPMorgan No 97.3%

Total Avg Compensation

September 2026 Investment Banking

  • Vice President (16) $429
  • Associates (50) $259
  • 3rd+ Year Analyst (8) $210
  • 2nd Year Analyst (26) $182
  • Intern/Summer Associate (14) $159
  • 1st Year Analyst (84) $151
  • Intern/Summer Analyst (76) $101
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
Secyh62's picture
Secyh62
99.0
3
BankonBanking's picture
BankonBanking
99.0
4
kanon's picture
kanon
99.0
5
DrApeman's picture
DrApeman
98.9
6
GameTheory's picture
GameTheory
98.9
7
CompBanker's picture
CompBanker
98.9
8
dosk17's picture
dosk17
98.9
9
Betsy Massar's picture
Betsy Massar
98.9
10
Jamoldo's picture
Jamoldo
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”