dupont analysis
DuPont ROE decomposition on XETRA from 2000 to 2025. Quality ROE returned 5.40% CAGR. Margin-driven ROE (8.30%) slightly outperforms leverage-driven (7.10%). Germany rewards operational efficiency over financial engineering.
dupont analysis
DuPont ROE decomposition on B3 (SAO) from 2000 to 2025. Quality ROE returned 19.10% CAGR with only -32.7% max drawdown. Down capture of 21.9% is the lowest of any market tested. Margin beats leverage by 6.0% annually.
dupont analysis
DuPont ROE decomposition on BSE+NSE from 2000 to 2025. Quality ROE returned 9.10% CAGR vs 7.30% SPY. Leverage-driven ROE dominated at 11.30%, the widest leverage premium of any market tested.
dupont analysis
We tested DuPont ROE decomposition across 13 stock markets. Leverage-driven ROE beats margin-driven in 8 of 13 exchanges. Brazil leads with 19.1% Quality ROE CAGR. The margin advantage is market-dependent.
dupont analysis
We decomposed ROE for 7,900+ US stocks over 25 years. Margin-driven ROE does NOT beat leverage-driven ROE. But filtering for quality ROE (high margin, low leverage) adds 1% annual alpha with 78% down capture.