This course aims to introduce the concepts of finance and their links between the world of the real economy and the financial sphere. The course is designed to help students understand the role of the financial manager in its globality: corporate financing, shareholder remuneration, financial analysis, risk control, project selection, management of operating liabilities and assets, etc. At the end of the course, the student will have a global view of corporate and market finance. All theoretical elements will be put into context in order to solve financial problems.
The objectives of the course are as follows: • Understand and carry out a financial analysis of a company; • Valuing an asset, a company or a project; • Establish an informed diagnosis of the value of a company; • Determine the optimal financing structure for a company; • Understand the general functioning of financial markets and the securities traded on them; • Be aware of the concepts related to sustainable finance; • Understand in detail current issues in the light of the financial concepts seen in the course.
The course covers a selection of fundamental topics in corporate finance and financial markets. The topics listed below provide the general framework for the course; their sequencing and level of depth may vary from year to year depending on the learning objectives and developments in financial markets.
The main topics covered include:
Corporate Finance
reading and analysis of financial statements;
financial forecasting and financial diagnosis;
value creation and wealth generation;
working capital requirements and investment decisions;
financing choices and sources of finance;
corporate profitability;
interest rates, present value and future value;
asset valuation;
cost of capital;
investment appraisal and project selection;
specific features of bank management and banking business models.
Financial Markets
risk and portfolio management;
functioning and organization of financial markets;
investment banking activities;
long-term financing and bond markets;
payout and dividend policy;
environmental and climate-related issues in finance.
Financial and cost accounting [ECGEB281]
Macroeconomics [ECGEB270]
Lecture with powerpoint presentations (which constitute the course material), applied exercises and case studies. Exercises are organised in small groups with the assistants. These exercises aim at applying the methods seen in the course to example cases. They will be solved either in class or on Excel.
The closed-book written examination assesses both knowledge and practical skills. Students are expected to master the fundamental theories and concepts, solve quantitative and analytical exercises, address short case studies, and recognize or interpret financial concepts. The objective is to assess both their understanding of the foundations and their ability to apply them to practical problems.
Finance d'Entreprise, Vernimmen, Dalloz. Corporate Finance, Berk & DeMarzo, Pearson
| Training | Block | Credits | Mandatory |
|---|---|---|---|
| Bachelor in Business Engineering | 3 | 5 | Yes |
| Bachelor in Economics and Management | 3 | 5 | Yes |