This presentation by Adrian Blundell-Wignall shows key figures from the 2015 edition of the OECD Business and Finance Outlook. Find more information about the Outlook at http://www.oecd.org/daf/oecd-business-finance-outlook.htm

1. OECD BUSINESS AND
FINANCE OUTLOOK
HIGHLIGHTS
24 June 2015
Adrian Blundell-Wignall

2. Thinking about over-investment - Companies’ capital expenditure
rate greater in emerging economies for general industry

3. Emerging markets’ ROEs falling versus the cost of equity
in general industry – opening a value creation gap

4. Productivity of sales versus value added in advanced and emerging
country infrastructure and general industrial companies

5. US general industrial companies:
Operating cash is rising and buybacks are huge

6. Low interest rates could persist for a long time

7. Changes in retirement income as interest rates change

8. Evolution of the present value of a hypothetical fixed cash flow
promise payable over 20 years when interest rates fall

9. Drop in interest rates increases exposure to longevity risk of mortality
tables across countries – average shortfall for females, age 65

10. Private funds versus regulated funds

11. Covenant Protection Index and
selected covenant frequency

12. Thank you
Find the OECD Business
and Finance Outlook online
www.oecd.org/finance/
oecd-business-finance-outlook.htm