Financing New Ventures in Global Markets (5 cr)

Evaluation scale

0-5

Objective

The course provides students with an understanding of the multiple aspects of finance for business ranging from theoretical to practical standpoints. The students are able to understand, explore, and analyze multiple aspects start-up and early stage enterprises in the global markets through the lenses diverse financial perspectives. The students understand conceptual aspects and their practical applications from the point of view of investors and finance managers with respect to corporate risk, and return dynamics, quantitative financial analysis, investment analysis, corporate finance, international finance, corporate valuation, financial forecasting, financial institutions and markets. Furthermore, the students also learn new developments taking place in the financial sector such as financial technology (FINTECH) and Blockchain Technology . Students also learn several analytical tools and techniques of fundamental and technical analysis and draw necessary inferences followed by the decision-making based thereon.
At the end of this course you be able to:
- comprehend the cost of capital using relevant benchmarks and risk profiles of firms
- asset valuation
- analyze investment and financing strategies of firms
- justify financing choices in the light of taxation, foreign exchange and bankruptcy costs
- understand multiple dynamics of capital markets and financial planning in the global context
-comprehend the key financial considerations and dynamics when launching a new venture;
-understand and apply various performance metrics/measures of a new venture;
-develop the financial models that are compatible with the firm’s future growth and also incorporates firm-level characteristics;
-compare diverse financial sources that support a new venture in the light of risk exposures;
-understand the role of technological developments and governance issues
You are expected to acquire the following competencies in this course:
YBBGM: Global business management competence
As a student, you will understand the dynamics of the global business environment through the extensive and intensive training of concepts, skills, and techniques applied in the field of finance. You will also explore the fundamentals issues of finance and dynamics related to the financing of new ventures, investment planning, and financing decisions based on financial analysis.
YAMYT: Entrepreneurship, innovation and working community competence
You will explore issues related to financial stability and sustainability by incorporating multiple risk factors and dynamic institutional settings and corporate environment. Promoting moral and ethical mindset and conduct to ascertain and disclose true and unbiased financial health of the companies are the strategic concepts, among others, that you will learn to understand and apply in the financial decision-making process. You will also study safeguarding interests of different stakeholders in an unbiased manner to promote the corporate value system, which is humane, fair and equitable.
YAMKA: Internationalisation and communications competence
Communicating the inferences made and interpretations drawn based on the financial data analysis responsibly, effectively and professionally in English, including in written reports, presentations, formal correspondence, and on social media are some of the key aspects that you will learn in this course. You will get several opportunities to participate enthusiastically in inter- and multicultural settings, demonstrate team building and leadership skills, and implement conflict resolution skills in numerous situations.

Content

Fundamentals of risk-return, Capital Asset Pricing Model (CAPM), Arbitrage Pricing Model, Modigliani-Miller theorems, Venture capital, P2P lending, Crowdfunding, Project valuation techniques, Cost of capital, Capital structure dynamics, FINTECH and digital innovations.

Location and time

Two weeks (Friday and Saturday)= 4 lectures @ 5 hours= 20 hours during Spring semester

Materials

Lecture slides, case studies, spreadsheets, textbooks, research articles, videos, assignments, online resources etc. Please check learning platform on regular basis.

Main text book options
-Richard A. Brealey, Stewart C. Myers and Franklin Allen, Principles of Corporate Finance, 13th Edition (2019). The McGraw-Hill.
- Stephen Ross and Randolph Westerfield and Jeffrey Jaffe and Bradford Jordan, Corporate Finance, 12th Edition (2018). The McGraw-Hill.
- Jonathan Berk and Peter DeMarzo, Corporate Finance, 5th Edition (2020). Pearson.

Other books
-Mark Grinblatt and Sheridan Titman, Financial Markets & Corporate Strategy,
- Glen Arnold, Corporate Financial Management
- Stephen Lofthouse, Investment Management
- Jeff Madura, International Financial Management


On-line sources
• https://www.youtube.com/channel/UCeZf5FUwF9LrvdnjXhiCGKQ/videos
The above channel is run by the lecturer himself.
• https://www.investing.com
• https://uk.finance.yahoo.com
• https://finance.yahoo.com
• http://www.nasdaqomxnordic.com
• http://www.worldbank.org
• http://www.oecd.org
• https://www.bloomberg.com
• https://www.reuters.com
• https://www.bbc.com
• http://ssrn.com
• http://www.imf.org
• http://www.ifc.org
• http://www.nytimes.com

Teaching methods

The primary modes of delivery are face-to-face learning (lectures, workshops, presentations).
The attendance of the students in the classroom in mandatory.

Exam schedules

Exam will be held during the last week of the course and details of the exam date, timings and venue will be notified at the learning platform. The retake exam will be held once in the Spring semester and Autumn semester.

International connections

There are possibilities of having collaborations with other universities in Finland and abroad with respect to joint research, and corporate projects.

Student workload

You will be required to required to invest 135 hours approximately and the break up of the total time is as below:
Lectures: 40 hours
Data Analysis Lab Session: 30 Hours
Assignment Preparations: 30 Hours
Group work: 20 Hours
Miscellaneous: 15 Hours

Assessment criteria, satisfactory (1)

Grade 1: YBBGM Global business management competence, YAMYT Entrepreneurship, innovation and working community competence and YAMKA Internationalisation and communications competence are at the basic level.
Grade 2: YBBGM Global business management competence, YAMYT Entrepreneurship, innovation and working community competence and YAMKA Internationalisation and communications competence are good.

Assessment criteria, good (3)

Grade 3: YBBGM Global business management competence, YAMYT Entrepreneurship, innovation and working community competence and YAMKA Internationalisation and communications competence are good and there is a partial reflection of the given competencies in the real-life scenario.

Grade 4: YBBGM Global business management competence, YAMYT Entrepreneurship, innovation and working community competence and YAMKA Internationalisation and communications competence are excellent and there is a partial reflection of the given competencies in the real-life scenario.

Assessment criteria, excellent (5)

Grade 5: YBBGM Global business management competence, YAMYT Entrepreneurship, innovation and working community competence and YAMKA Internationalisation and communications competence are excellent and there is a comprehensive reflection of the given competencies in the real-life scenario.

Qualifications

BBA in business or economics or equal

Further information

Avoin amk 5 (included in total capacity) +
Avoin amk 5