S&P 500 ROE Ex Financials At 19.1% In Q3 2014

As we continue to see the overall negative effects of “special charges”, currency exchange rates, and low oil prices on earnings during the fourth quarter, Goldman Sachs today released a “US Thematic Views” report that shows that S&P 500 return on equity remained at 16.3% during the third quarter 2014, for the second consecutive quarter. Goldman Sachs highlights that excluding the financial sector, return on equity (ROE) stands at 19.1%.  While margin expansion was decent, the gains were offset due to increase tax bills and cut backs to leverage.

Only 4 out of 10 sectors posted ROE increases

Of...