Financial Modeling for Wall Street Analysts and Asset Managers

This two-day course covers the financial modeling methods of Wall Street Analysts and Asset Managers, as well as the creation and analysis of Excel-based models. During class, students work in Excel to create financial statements, ratio analyses, pro-forma projections, and discounted-cash-flow models for entity valuation, mergers and leveraged-buyouts.

Course Syllabus

I. Accounting for Financial Modeling

  • Accounting typology: accounting for industrial companies vs consultancies and financial entities
  • Recording complex economic events. (Journal entries and transaction tables). Deferred tax assets and liabilities, tax loss carryforwards, etc.
  • Creating new financial statements from existing statements and new economic events. (Includes balance sheets, income statements, cash flow statements and statements of owners' equity).

II. Ratio Analysis Models

  • Financial-statement based ratios
  • Market-value based ratios (Includes equity ratios and enterprise value ratios)

III. Pro-forma Projection Models

  • Rigorous development of methods for projecting balance sheets, income statements and cash flow statements
  • Best practices and troubelshooting techniques for Excel models

IV. Entity Valuation Models

  • Discounted cash flow (DCF) methods (NPV, IRR, and Benefit/Cost Ratio)
  • Balance sheet valuation methods (Classic value investing techniques, routinely employed by Warren Buffet, Mario Gabelli, etc)

V. DCF valuation of entities using pro-forma projections

  • Cost of capital
  • Terminal values
  • Entity valuation models for equity investors
  • Entity valuation models for mergers
  • Entity valuation models for leveraged buyouts
  • Model Analysis and refinement:
  • Sensitivity and scenario analysis
  • Monte Carlo simulation
  • Best practices and troubleshooting techniques for Excel models
 

SESSIONS AVAILABLE

No sessions currently available. Contact client services to get the next available date.

COURSE INFORMATION

Professional Credits:
CPE Credits 14
Price
$1,699 USD
Duration 2 Days
Advance Preparation
No advance preparation required.
Prerequisites
An introductory course covering financial accounting and corporate finance. Basic working knowledge of Excel. Basic knowledge of probability and statistics.
Instructional Method
Classroom
Level
Basic