Elements of Corporate Finance

Prof. N. MIGLIETTA
miglietta@econ.unito.it

The course aim to present a framework of finance and the principles of financial management.
The teaching methodology includes instructor’s lectures, cases histories and the development of specific topics with the collaboration of financial markets experts.

Required topics:

IValue

1. Finance and the financial manager
2. Present value and the opportunity cost of capital
3. Where value comes from
4. Net present value and investment decisions

II Risk and Capital Budgeting

1. Risk measures
2. Diversification and risk
3. Risk and return
4. Systematic risk and Beta
5. Sensitivity analysis and decisions trees

III Financing Decisions, Dividend Policy and Capital Structure

1. Financing decisions and choice of capital structure
2. Modigliani Miller propositions
3. The weighted average cost of capital (wacc)
4. Different kinds of debt
5. Dividend decisions
6. Financial analysis and short-term planning
7. An outline of International finance

Optional topic

1. Corporate Control, Governance and financial architecture

Text suggested:

R. A. BREALEY, S. C. MYERS, F. ALLEN, Corporate Finance,, 8/e, Mc GrawHill, 2006

November 8th-15th: Prof. Kym Fraser from University of South Australia