Introduction to Finance, Capital Markets and Valuation
Prüfungsanforderungen:
Demonstrate a comprehensive understanding of major issues in corporate financial management and how they are connected.
Document an understanding of methods of risk assessment and capital budgeting under risk and their application.
Demonstrate a thorough understanding of how the cost of capital can be determined.
Show a profound understanding of the concepts of market efficiency, behavioral biases, and their implications for firms’ financial decisions.
Show the ability to analyze decisions on capital structure and payout policy routed in a clear understanding of various market frictions and agency problems.
Qualifikationsziele/Kompetenzen:
After successful completion of the course students will be able to:
give an overview of major problems in corporate financial management, how they arise and how they are related,
understand, apply and critically reflect on central methods of risk assessment and investment decision making,
understand and critically reflect on the determinants of a firm’s cost of capital,
understand and critically reflect on the efficient market hypothesis and its consequences for corporate financial decision making,
understand and critically reflect on behavioral aspects in corporate financial management,
understand firm’s capital structure and payout decisions and being able to relate such decisions to various market frictions and agency problems,
analyze major theories of optimal capital structure and payout policy with respect to their practical implications and their ability to explain observed financing behavior.
Inhalte der Vorlesung:
1. Fundamentals of Corporate Financial Management
2. Investment Decisions: Risk Analysis and Subjective Valuation
3. Investment Decisions: Capital Markets and Determinants of the Cost of Capital
4. Financing Instruments, Efficient Capital Markets, Behavioral Finance and Financing Decisions
