IDEAS home Printed from https://ideas.repec.org/a/vrs/suvges/v25y2015i1p16-25n2.html
   My bibliography  Save this article

The Influence of the Endogenous and Exogenous Factors on Credit Institutions’ Return on Equity

Author

Listed:
  • Baltes Nicolae

    (“Lucian Blaga” University, Sibiu, Romania, Faculty of Economics)

  • Rodean Maria-Daciana

    (Student “Lucian Blaga” University, Sibiu, Romania, Faculty of Economics)

Abstract

The research’s purpose is to study the credit institutions’ performance, from the shareholders’ point of view, through return on equity (ROE). It aims to identify a dependency relationship between return on equity (ROE) and endogenous factors (the growth rate of credit portfolio, the growth rate provisions, the solvency ratio), on the one hand and, on the other hand between ROE and the exogenous ones (GDP and inflation rate). The research was done over an horizon of 10 years (2004-2013) on the evolution of the return on equity indicator of two credit institutions listed on Bucharest Stock Exchange (Carpathian Commercial Bank SA and Banca Transilvania SA), highlights their vulnerability to economic conditions. The results obtained indicates, that in both credit institutions, the variation of return on capital is determined in a significant proportion by intern factors and it is conditioned in a insignificant share by the exogenous factors

Suggested Citation

  • Baltes Nicolae & Rodean Maria-Daciana, 2015. "The Influence of the Endogenous and Exogenous Factors on Credit Institutions’ Return on Equity," Studia Universitatis „Vasile Goldis” Arad – Economics Series, Sciendo, vol. 25(1), pages 16-25, May.
    • Handle: RePEc:vrs:suvges:v:25:y:2015:i:1:p:16-25:n:2
    DOI: 10.1515/sues-2015-0002
    as

    Download full text from publisher

    File URL: https://doi.org/10.1515/sues-2015-0002
    Download Restriction: no
    File URL: https://libkey.io/10.1515/sues-2015-0002?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:vrs:suvges:v:25:y:2015:i:1:p:16-25:n:2. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Peter Golla (email available below). General contact details of provider: https://www.sciendo.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.