This master level course exposes students to theories and practical situations that will give them the ability to (i) analyze and critically assess company governance structures and financial decisions, and (ii) contribute to corporate financial decisions.
The course is a Master level corporate finance class that emphasizes real-life decision-making. In order to make insightful financial decisions, it is important to comprehend the implications of various financial theories. Thus, the first half of the course covers important financial theories, corporate governance systems and mechanisms, the functioning of financial markets and risk assessments. Emphasis is placed on managerial financial decision-making and the roles of information asymmetries, economic incentives and behavioral biases.
This is then followed by more in-depth analyses of classic corporate finance decisions such as capital structure, payout policy and investment appraisals, before leading to more specialized decisions including various forms of corporate restructuring.
Course participants will learn to analyze and critically assess real-life problems and situations. The solutions will be presented and discussed in written and verbal formats in numerous seminars.
The course is taught in English.
Knowledge: Upon completion of the course, students will have knowledge of
The theories necessary to understand various financial decisions.
The structuring and functioning of corporate governance systems used to control widely held companies.
The functioning of financial markets, and how managers use them in financial decision-making.
The key drivers of important financial policy decisions, including capital structure, payout, risk management, and investment decisions.
The role of information asymmetries, economic incentives and behavioral biases for financial decision-making.
Skills: Upon completion of the course, students will have the ability to
Independently analyze and assess the financial and governance positions of real-life companies.
Analyze, assess and make suggestions of what are appropriate financials decisions of real-life companies, including capital structure, payout policy and capital allocation decisions.
Present and discuss remedies for concrete financial problems and, in so doing, integrate different perspectives to produce a balanced overall decision.
Solve problems through group work and present case solutions.
Set up and use basic financial modelling tools.
Required prerequisite knowledge
Form of assessment
All written and printed means are allowed. Definite, basic calculator allowed
A four-hour written exam determines the grade (A - F). An approved calculator is allowed at the written exam.
To be eligible to sit for the written examination, a student must have received course approval. This approval is based on mandatory group assignments, presentations and active participation. Detailed information is provided on Canvas.
The course is delivered in the form of lectures and seminars. Active participation is required. There will be multiple hand-in assignments with student presentations. Students are expected to use 280 hours to complete this course.