FM414E Half Unit
Corporate Investment and Financial Policy
This information is for the 2015/16 session.
Teacher responsible
Dr Ulf Axelson
Availability
This course is available on the MSc in Finance (part-time). This course is not available as an outside option.
Pre-requisites
Students must have completed Asset Markets (FM423) and Corporate Finance (FM422).
Course content
- Supporting the firm's strategy with Long-term and short-term financial management
- Real options and strategic investment decisions
- Family firms, IPOs, and corporate governance
- Risk management, International valuation, and currency exposure
A case based course aimed at deepening the understanding of how to apply corporate finance concepts in a wide variety of business situations. In particular, we will try to build on concepts in business strategy, valuation techniques, and capital structure theories covered in previous courses, and see how to apply those tools in a systematic and rigorous way when approaching complicated real-life corporate finance problems. Examples of topics include working capital management, capital structure, risk management, real options, initial public offerings, international corporate finance, and family firms. Students will have to read up on cases before class and be prepared to discuss them interactively in class.
Teaching
30 hours of seminars in the MT.
Formative coursework
5 formative case study assignments (similar to summative cases).
Indicative reading
Berk and DeMarzo, "Corporate Finance"
-Around 10 case studies
-A number of related scientific articles, including:
Opler, Tim, M. Saron, & S. Titman, 1997, "Designing Capital Structure to Create Shareholder Value," Journal of Applied Corporate Finance 10.1, 21-32 Bodily, Samuel E., 2005, "Real Options", Darden case study UV0433-PDF-ENG
Froot, Kenneth, David Scharfstein, and Jeremy Stein, 1994, "A Framework for Risk Management," Harvard Business Review 72, (November-December 1994): 59-71.
James, Mimi, and Timothy M. Koller, "Valuation in Emerging Markets," McKinsey Quarterly 2000:4
Assessment
Exam (70%, duration: 2 hours) in the main exam period.
Coursework (20%) and class participation (10%) in the LT.
Key facts
Department: Finance
Total students 2014/15: Unavailable
Average class size 2014/15: Unavailable
Controlled access 2014/15: No
Value: Half Unit
Personal development skills
- Team working
- Communication
- Application of numeracy skills
- Commercial awareness