Module FINN2087: Financial Valuation

Department: Finance

FINN2087: Financial Valuation

Prerequisites

Corequisites

• Corporate Finance (FINN2041)

Excluded Combination of Modules

• None

Aims

• To provide students with knowledge and understanding of the key issues in valuing companies and alternative investment securities.
• To equip students with the practical tools for undertaking valuations of companies and alternative investment securities.

Content

• The valuation process
• Company and industry analysis
• Discounted cash flow models
• Relative valuation models
• Valuation of special transactions (eg. IPOs, M&A deals)
• Valuation of alternative investment securities (eg private equity, REITs)
• Comtemporary issues in valuation

Learning Outcomes

• By the end of the module students are expected:
• Have a critical understanding of the process of valuing companies and alternative investment securities.
• Know the different approaches to valuing companies and alternative investment securities.

• Able to apply different models of valuation to find the value of companies and alternative investment securities.

• Interpersonal and Communication - by undertaking a written formative and summative group assignment.
• Numeracy - e.g. by applying core mathematical and statistical skills to answer a range of seminar questions and online tests.
• Problem Solving and Analysis - by applying analytical skills to determine the factors that should affect valuation and how to incorporate these into the valuation process.
• Planning, Organisation and Time Management - by undertaking group work.
• Computer Literacy - by using different computer tools to carry out valuations.

Modes of Teaching, Learning and Assessment and how these contribute to the learning outcomes of the module

• Learning takes place through attendance at workshops and preparation for and participation in workshops, and independent study.
• Summative assessment is by means of group written assignments of 4000 words and online test of not more than 1.5 hours.
• Formative assessment is by means of group assignment. This will involve presenting a portion of the work for the summative assignment for feedback.

Teaching Methods and Learning Hours

Summative Assessment

Formative Assessment:

Group assignment (Preliminary report)

■ Attendance at all activities marked with this symbol will be monitored. Students who fail to attend these activities, or to complete the summative or formative assessment specified above, will be subject to the procedures defined in the University's General Regulation V, and may be required to leave the University