Financial Soundness Index for the Private Corporate Sector in Colombia

Número: 
898
Publicado: 
Clasificación JEL: 
L25, G30, G32, C3
Palabras clave: 
Firms’ Financial Soundness, principal component analysis, Financial Ratios, Composite Indices

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Ligia Alba Melo-Becerra, Diego Vásquez-Escobar, María Isabel Alarcón-Obando, Giselle Tatiana Silva-Samudio
Karina Acosta, Juliana Jaramillo-Echeverri, Daniel Lasso Jaramillo, Alejandro Sarasti-Sierra

This paper has as main objective to build a composite metric of nancial soundness for the private corporate sector in Colombia. Instead of relying on the individual and sometimes restrictive nancial ratio analysis approach, the purpose of this document