Fabrice Riva

Directeur du Master 225 - Professeur agrégé des Universités, Université Paris - Dauphine

Principles of Finance

Les objectifs du cours

Langue du cours : anglais

The objective of this course is to review the major financial concepts and to lay the grounds for more advanced courses. Besides reviewing important concepts, students will be taught how to implement them using Excel.

Skills to be acquired : Being able to frame a financial decision problem and express a decision using Excel.

Plan du cours

  • Capital budgeting and valuation

- Time value of money
- IRR and the cost of money
- Capital budgeting
- Financial planning and valuation

  • Portfolio analysis and the capital asset pricing model

- Risk and return
- Statistics for portfolios
- Efficient frontier
- CAPM and SML

  • Valuing securities

- Bond valuation
- Stock valuation

  • Capital structure and the value of the firm

- Capital structure and firm value
- Dividend policy

  • Options and option valuation

- Option pricing facts
- Black-Scholes
- Binomial option pricing model

Bibliographie

Simon Benninga, “Principles of Finance with Excel”, Oxford University Press, 2nd edition

Examen

No assessment is planned for this course