0. Orientation & Overview

How to overcome failureBuy
1. Basic concepts of Financial Management
2. Cost and Value of Equity

1. Concept of capital
2. Concept of Equity & Debt
3. Value vs Price
4. Cost & Value of Equity using Dividend Valuation method (DVM)
5. No growth & Constant growth DVM
6. Cost of Equity using Capital Asset Pricing Method (CAPM)Buy

Future value of annuityBuy

1. Cumdiv and Exdiv share price
2. Variable growth DVM
3. Estimating dividend growth rates using Gordon growth and Historic growth models
4. DVM based on Interim dividends
5. Impact of Personal & Corporate taxation in DVM and Financial Management
6. Components & explanation of CAPMBuy

1. Basics of Debt
2. Computing Value of debt
3. Cost & Value of Bank loans / Simple loans
4. Cost of debt vs Yield on debtBuy
3. Cost & Value of Debt and the WACC

1. Using IRR to estimate Cost of debt
2. Cost & Value of Traded redeemable bonds
3. Cost & Value of Nontraded redeemable bondsBuy

1. Cost & Value of Convertible bonds
2. Cost & Value of Deep discount bonds / Zero coupon bonds
3. Cost & Value of Foreign loans / bonds
4. Exchange rate prediction based on purchasing power parityBuy

1. Cost & Value of Irredeemable Pref shares
2. Cost & Value of Redeemable Pref shares
3. Cost & Value of Debt redeemable at MV ruling at the day of redemption
4. Cost & Value of Floating rate loans / bonds
5. Term structure of interest ratesBuy

1. Cost & Value of Bonds with midlife conversion feature
2. Weighted average cost of capital (WACC)
a. Mathematical computation
b. Logical significanceBuy
4. Basic Investment Appraisal

1. WACC (continued)
2. NPV
a. Basics
b. Tax
c. Real & Nominal cashflows
d. Relevant cashflowsBuy

1. NPV
a. Relevant cashflows
b. Working capital
Buy

NPV
a. Working capital
b. Cashflows with differing intervals
c. Cashflows evenly over periodBuy

NPV
a. Changing discount rates
b. Complex cashflows calculations
c. Probability & uncertainty
d. Decision trees
Buy

NPV
a. Decision trees
b. Sensitivity analysis
c. Profitability indexBuy

1. IRR
2. MIRR
3. Monte carlo simulationBuy

Part 01:
1. Target NPV with missing revenue / fee / cashflow
2. Target IRR with missing revenue / fee / cashflow Buy

Part 02:
1. Target NPV with missing revenue / fee / cashflow
2. Target IRR with missing revenue / fee / cashflow Buy

Future value of annuity with growthBuy
5. Basic Investment Appraisal, Advanced Investment Appraisal & WACC

1. Illliquidity premium
2. Lease & Sale pricing in Target NPV / IRR Questions
3. ROCE / ROI / ARR
4. Economic Value Added
5. Efficient market hypothesis
6. Impact of financial risk on WACC / NPV / Value
7. Traditional theory of capital structureBuy
6. Advanced Investment Appraisal & WACC

1. Traditional theory of capital structure
2. M&M theory of capital structureBuy

1. M&M theory of capital structure â€“ Advanced concepts
2. Hamada equation
3. Pureplay methodBuy

1. Pureplay method â€“ Advanced concepts
2. Cashflow lost vs Opportunity cost in Inv appraisal
3. Terminal valueBuy

Adjusted present valueBuy

Adjusted present value â€“ Advanced conceptsBuy

1. International investment appraisal
a. Determining foreign cashflows
b. Conversion of cashflows to local currency
c. Tax
d. Repatriation restrictions
e. Country risk premium in CAPMBuy

1. International investment appraisal
a. Country risk premium in CAPM
b. Transfer pricing with Foreign operationBuy
7. Portfolio theory and Capital Markets

1. What is portfolio theory
2. Risk & Return of a security
3. Risk & Return of a portfolio 2, 3 or higher count of securities
4. Correlation and Covariance of returnsBuy

1. Calculating Beta Equity
2. Methods to assess optimal portfolio
a. Coefficient of variation (simple; benchmarked)
b. Sharpe ratio
c. Treynor ratio
d. CAPM / Alpha valuesBuy
8. Portfolio theory and Capital Markets, Business Valuation

1. Mutual funds business
2. Capital markets
3. Stock market indices and their types
4. How are stock index points calculated
5. Introduction to business valuation
6. Multiples based valuation (PE, Revenue, EBITDA multiple)
7. FCF based valuation â€“ basicsBuy
9. Business Valuation

1. Merger of companies
2. Merged valuation, synergies & benefits
3. Computing Merged WACCBuy

1. Demerger of companies
2. Demerged company valuation, synergies & benefits
3. Computing demerged WACC
4. Valuation of companies by a Venture capitalist
5. Valuation of company / shares under IPO scenarioBuy

1. Foreign acquisition
a. FCF of foreign company
b. Repatriation restrictions
c. WACC computation
2. Matters considered in a business combination by acquirer / acquire shareholdersBuy

1. Impact of market efficiency type on business valuation
2. Comparing target companies for acquisitions
3. Illliquidity premium
4. Computing max price that can be paid for acquisitionBuy
10. Business Valuation, Certain Financial Decisions

1. Asset based valuation â€“ Book value, Net realizable value, Forced sales value
2. Dividend valuation method
3. Price to Book ratio method
4. Earning yield method
5. Dividend yield method
6. Super profits method of valuation
7. Summarizing all types of business valuation Qs. that may occur in exam
8. Asset replacement decision
a. Real cashflows & Real rate
b. LCM method
c. Bifurcated Real PV & WACC methodBuy
11. Certain Financial Decisions

1. Single period capital rationing
2. Lease vs Buy vs RentBuy

1. Termination of lease
2. Computing lease rentals using lessorâ€™s IRR
3. Linear programming â€“ Limiting factor problemsBuy

1. Critical resource & Slack computation
2. Shadow price / Dual value computation
3. Multiperiod capital rationing using Linear programmingBuy
12. Currency Risk & Hedging

1. Foreign exchange risk
2. What are exchange rates
3. Direct & Indirect quotes
4. Spot & Forward quotes
5. Cross rates
6. Currency forwards
7. Currency futuresBuy

1. Basis in futures
2. Basis evolution & effective lockin ratesBuy

1. Local currency futures
2. Money market hedge
3. Netting & Matching
4. Multilateral netting
5. Currency optionsBuy

Part 01
1. Currency options
2. Forex swaps
3. Currency swaps
4. Currency swaptions
5. Leading & LaggingBuy

Part 02
1. Currency options
2. Forex swaps
3. Currency swaps
4. Currency swaptions
5. Leading & LaggingBuy
13. Interest Rate Risk & Hedging

1. Exchange rate management by Govt
2. Exchange rate prediction techniques
3. 4 way equivalence
4. REER & NEER
5. Interest rate risk
6. Forward rate agreements
7. Interest rate futuresBuy

1. Basis & Effective lockin rates in Interest rate futures
2. Interest rate swaps
3. Options on Interest rate futuresBuy
14. Interest Rate Risk & Hedging, Commodity & Security Hedging

1. Interest rate swaps via intermediary
2. Interest rate swaptions
3. Tick size
4. Commodity & security forwards
5. Commodity & security futuresBuy
15. Dividend and Financing Decisions

1. Dividend decision
a. Practical influences on div policy
b. Types of div policy
c. Computing optimal div payout
d. Managing finance out of div
e. Dividend irrelevance theory
2. Theoretical exright price and value of a rightBuy

1. Comparison of financing options
2. Financing costs method of comparison
3. Cashflows / NPV method of comparison
4. Market value using PE or DVM method of comparisonBuy
16. Liquidity risk management

What is Liquidity Risk?
Liquidity indicators
Tools to manage Liquidity risk
Relationship between Liquidity & Working capital management
Working capital managementBuy

Managing liquidity through working capital
MAC S14 Q2
MAC W16 Q4
BFD S19 Q3Buy

Liquidity stress testing
Contingency funding plan
Cashflow forecasting
S 2021 Q2Buy
17. Credit risk management

What is Credit risk?
Credit risk analysis – Using ratios
Credit risk analysis – Credit rating
Credit risk analysis – Complicated tools
Credit risk management – Financial institutions vs Other Entities
Receivables management
MAC S13 Q1Buy

Credit risk management through Insurance
Credit risk management through Factoring
MAC S12 Q6
BFD W19 Q1
BFD W17 Q4Buy
18. Certain Decision making scenarios

1. High / Low analysis
2. Process costing (revision)
3. Pricing for special orders
a. Special order â€“ Relevant cost working
b. Tabular approach to general pricing decisions
c. Marginal revenue & marginal cost approach to general pricing decisionsBuy

1. Make or buy decisions
2. Further processing decisionsBuy
19. Arbitrage pricing theory

Arbitrage pricing theoryBuy
20. S2021 Solution

S2021 Solution Part 1Buy

S2021 Solution Part 2Buy
21. Revision + Exam Handling

Revision + Exam HandlingBuy
22. ICAP Winter 2021 Solutions

ICAP Winter 2021 Solution Q1Buy

ICAP Winter 2021 Solution Q2Buy

ICAP Winter 2021 Solution Q4Buy

ICAP Winter 2021 Solution Q5Buy
23. MSA2 practice questions for BFD

MSA2 example for BFD students  W21 Q2Buy

MSA2 example for BFD students  W21 Q3Buy
24. Summer 2022 Solutions
25. Summer 2022 Live Q&A Session

BFD Sum 2022  Live Q_A # 1Buy

BFD Sum 2022  Live Q_A # 2Buy

BFD Sum 2022  Live Q_A # 3Buy

BFD Sum 2022  Live Q_A # 4Buy

BFD Sum 2022  Live Q_A # 5Buy
26. Winter 2022 Live Q&A Session

BFD  Winter 2022  Q_A session 1 (Part 1)Buy

BFD  Winter 2022  Q_A session 1 (Part 2)Buy

BFD  Winter 2022  Q_A session 2Buy

BFD  Winter 2022  Q_A session 3Buy

BFD  Winter 2022  Q_A session 4Buy

BFD  Winter 2022  Q_A session 5Buy
27. Summer 2023 Live Q&A Session

Summer 2023 BFD Live Q_A # 2Buy

Summer 2023 BFD Live Q_A # 3Buy

Summer 2023 BFD Live Q_A # 4Buy

Summer 2023 BFD Live Q_A # 7Buy
28. Computer Based Exam Guidance

Computer Based Exam Guidance for allBuy