• 097412 - CORPORATE FINANCE

The course of Corporate Finance (5 cfu) analyzes the process of corporate investments’ financing through the selection of security typology, capital issuance, corporate governance and hedging.

The course objectives are as follows:

• Analyzing the financial structure and governance decisions of a company

• Learning how the company may raise money to finance growth, projects and investments, and which instruments can be used

• Analyzing the characteristics of financial securities, and their valuation methodologies

• Analyzing derivatives contracts, their valuation methodologies and how they can be used to hedge company liabilities

Topics:

• Financial structure: Modigliani & Miller propositions, debt vs. equity, agency costs

• Debt raising: bonds (valuation, duration, term structure of interest rates, volatility)

• Equity raising: shares (valuation)

• Interactions between value and financing (adjusted present value, wacc)

• Derivatives (forward contracts, options)

The course may be taken as optional by students enrolled in any concentrations of the course of Management Engineering.

The course is integrated with 'Finance Lab' (10 cfu) in the second semester for students enrolled in the Finance concentration.

Written text + oral text (optional), two sets (intermediate and final)