Entering a New Age of Earnings Uncertainty

Most companies’ senior financial executives expect the same, or more, earnings uncertainty in the next five years.

Is the global economy entering a new age of unpredictable earnings? The answer is a resounding yes. Most senior financial executives expect it will become more difficult to forecast the critical variables intrinsic in the execution of their corporate strategies.

Against the backdrop ofan already volatile business environment, a startling 93 percent believe their exposure to earnings uncertainty will climb or remain the same over the next five years, according to a recent survey by the Association for Financial Professionals (AFP), in collaboration with the Global Risk Center of the Oliver Wyman Group.

By the Numbers

Some numbers from the 2012 Association for Financial Professionals/Oliver Wyman Risk Survey that we find compelling.

Entering a New Age of Earnings Uncertainty