Centro de Documentacion de Fundación MAPFRE - Risk adjusted return on capital (RAROC) : the one true metric

MAP20130015637

Risk adjusted return on capital (RAROC) : the one true metric / Orlando B. Hanselman

Sumario: Financial services organization (FSO) leadership has long searched for the one performance metric that the best summarizes success. The metric most suitable for this central role is Risk-Adjusted Return on Capital (RAROC) becuase it strategically considers the full risk and return business equation. Capital assignment, which is integral to calculating RAROC, is a judgmental art that continues to envolve. This article provides practical insights into the capital assignment challenge

En: Journal of Performance Management. - vol. 18, nº 3, 2005 ; p. 26-32

1. RAROC . 2. Rentabilidad ajustada al riesgo . 3. Gerencia de riesgos . 4. Rentabilidad bancaria . 5. Capital económico .