Pretax rate of return

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Pretax rate of return

Gain on a security before taxes.

Pretax Rate of Return

The rate of return on an investment before capital gains or other taxes. Most of the time, when one sees a calculation of the rate of return it is the pretax rate of return. For a tax-free investment, the pretax and post-tax rates of return are identical.
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00 percent higher pre-tax returns, on an annualized basis, than savings accounts," said Karthik Srinivasan, senior vice president and group head - Financial Sector Ratings, ICRA Limited.
The report illustrates historical and projected pre-tax returns on equity (ROE) by business line.
But such strategies could theoretically come at a cost: Funds seeking to avoid tax burdens might constrain their investment opportunities and thus potentially reduce their pre-tax returns.
After-tax returns can give a materially different view of the real value that managers deliver to clients and the ranking of these managers, compared to assessments made using pre-tax returns.
The profitable underwriting results have enabled the company to record consecutive years of double-digit pre-tax returns on revenue.
Investors can also consider NCDs issued by companies that offer pre-tax returns of up to 11.
Knowing this distinction will prove essential in realizing the potential high pre-tax returns available in the secondary mortgage market.
It focuses on niche markets with margins of over 10%, pre-tax returns on capital in excess of 15% and ones strongly cash-generative.
It focuses on niche markets with margins of more than 10%, pre-tax returns on capital in excess of 15% and ones that are strongly cash-generative.
If the proposed reforms were adopted, no income generated by any hedge fund, real estate fund, or private equity fund would be subject to the UBIT, and, if the investments are otherwise comparable, the tax-exempt entity would choose among investment options by selecting investments based on pre-tax returns.
Betas are also measured in the standard way, using pre-tax returns.
SRI indicated that nearly 87 percent of Lebanese ICT firms made profits during 2005 and 2006, with 64 percent reporting pre-tax returns on sales.