Insegnamento mutuato da: B028629 - MOD.II - FIRMS' FINANCING AND FINANCIAL MARKETS Corso di Laurea Magistrale in ECONOMICS AND DEVELOPMENT- ECONOMIA POLITICA E SVILUPPO ECONOMICO
The course aims to provide a complete overview of corporate funding
strategies. The financial decisions of entrepreneurial firms at various
phases of their life cycle will be examined, and the advantages and
disadvantages of various sources of financing will be compared.
Saunders A., Cornett M. (2018), Financial Markets and Istitutions.
McGraw-Hill, edition: 7. Chapters: 4, 5, 6, 8, 16.
Hillier D., Grinblatt M., Titman S. (2011), Financial Markets and Corporate
Strategy: European Edition. Chapters: 1, 2, 3, 14, 17, 21.
There will be the possibility to create an e-book combining the chapters
of the two mentioned books.
Other possible study material will be communicated during the course.
The course has the following objectives:
- Strengthen the knowledge about financial system, role of the European
Central Bank and monetary policy in affecting the financial markets,
theory of financial intermediations and market efficiency.
- Strengthen the skills associated with the comprehension of the firm
funding strategies, distinguishing between market funding and bank
- Make available logical assessment of the cost of bank debt.
Suggested: fundamentals of financial intermediaries
The course is made up of lectures and debates and resolutions of case
studies. Furthermore, seminars and individual project works are planned.
Type of Assessment
For students who attend lessons: Group work + Written exam (essays
and multiple choices questions).
For those who do not attend lessons: written exam, composed of two
parts, with essays and multiple choices questions.
The course is structured in three parts:
a) The first part focuses on the financial system in general, analyzing the
role of the European Central Bank and the monetary policy in affecting
the financial markets, and then tackle the issues related to the theory of
financial intermediations and market efficiency.
b) The second part of the course focuses on the firm funding strategies,
distinguishing between market funding and bank debt. After analyzing
the company life cycle, the course studies in deep the stock and the bond
market: how they work and what they are for; the role of investment
banks in the IPO operation and in the issue of bonds. Secondly, it
investigates the role of some important market players involved in
certain phases of business life cycle, such as business angel and venture
c) The last part of the course analyses the bank-company relationship
and bank debt. In particular, the documentation that companies must
provide to banks and the credit rating as a fundamental element in
determining the cost of bank debt will be analyzed.