In the financial management concentration we study the complex and challenging questions facing today's Chief Financial Officers and other financial decision makers.
Financial management deals with the dynamic interaction of operational and financial decisions of companies and the consequences of these decisions for stakeholders in the firm, and it requires an understanding of both financial accounting and global capital markets. In the concentration we build upon the skills acquired during the previous modules to study more advanced issues in accounting and financial reporting, management control, capital markets and corporate finance.
We will cover several areas of particular interest to financial managers and discus challenges and questions that may arise in various stages of a firm's life cycle, from privately held small firms to large mature public corporations. We will analyze mergers & acquisitions from both a financial reporting perspective and a valuation perspective, study working capital management and discuss the practical aspects of debt and equity financing, such as initial public offerings, recapitalizations, restructurings and private equity. We will analyze the relationship between firm profitability and growth, discuss performance measures such as balanced scorecard and economic value added and study issues related to corporate governance and corporate control. We will introduce common risk management concepts and techniques using derivative securities such as futures and options and discuss how these instruments affect the financial statements of firms. We will extend the basic valuation approach from previous modules to deal with more complex situations such as leveraged buyouts and international investments.
The format of the financial management concentration will be highly interactive, making extensive use of real company examples and selected case studies throughout the course. The focus will be mainly on the practical aspects of financial management, giving you a solid understanding of how to optimally use quantitative financial techniques in real-life business situations and decisions.