Corporate Finance

Code:

1EC308

Acronym:

FE

Keywords
Classification	Keyword
OFICIAL	Management Studies

Instance: 2021/2022 - 2S

Active?	Yes
Responsible unit:	Management
Course/CS Responsible:	Bachelor in Economics

Cycles of Study/Courses

Acronym	No. of Students	Study Plan	Curricular Years	Credits UCN	Credits ECTS	Contact hours	Total Time
LECO	263	Bologna Syllabus since 2012	3	-	6	63	162

Teaching language

Portuguese

Objectives

The objective of this course is to provide students with advanced and updated knowledge, both at theoretical or practical level, in the area of Corporate Finance.

The Modern Finance is based on the theories of utilities, preferences, the mean-variance, the "capital asset pricing model", the "arbitrage pricing theory", the "financial signs", positive information, the justification of regulations as well as the Modigliani-Miller theorem.

Thus, initially, we present the different risks to which companies are exposed, being devoted to each practically one chapter. In a second phase the risks are quantified. Finally, instruments are used, strategies, traditional markets and new markets (derivatives).

In this context of uncertainty, it plays a central role the financial information, the concepts of return, risk, financial balance, the theorems of capital structure, dividend policies and the models of valuation and management of variable income securities.

Learning outcomes and competences

The goal is that students acquire the latest knowledge on the subject of Corporate Finance.

Working method

Presencial

Program

General introduction

Chapter I: Financial information

Chapter II: Financial analysis

Chapter III: Portfolio management

Chapter IV: Financial structure of companies

Chapter V: Dividend policy

Chapter VI: Evaluation of companies

Chapter VII: Restructurig, mergers and acquisitions

Chapter VIII: Derivatives

Chapter IX: Interest rates management 

Chapter X: Financial planning 

Chapter XI: Conclusions

Mandatory literature

Brandão E.; Finanças, Edição do autor, 7ª edição, 2012
Ross S., Westerfield R. and Jaffe J.; Corporate Finance, McGraw-Hill, 10th edition, 2012
Brigham E. e Daves P.; Intermediate Financial Management, South Wertern, Cengage Learning, 11th edition., 2012
LEVASSEUR M. e QUINTART A.; Finance, Económica, 3ª edição, 1998
Vários; Journal of Finance
Vários; Journal of Financial Economics

Teaching methods and learning activities

The methodology consists in the exposure of the major theoretical contributions, the presentation, discussion and analysis of case studies of real companies.

Evaluation Type

Distributed evaluation with final exam

Assessment Components

Designation	Weight (%)
Teste	80,00
Participação presencial	20,00
Total:	100,00

Amount of time allocated to each course unit

Designation	Time (hours)
Estudo autónomo	103,50
Frequência das aulas	58,50
Total:	162,00

Eligibility for exams

Não aplicável.

Calculation formula of final grade

 

Continuous assessment

This assessment system comprises the following components:
. 1st test, weighting 30%,
. 2nd test (global), weighting 50%,
. Participation and attendance of students in classes, weighting 20%,

. The minimum in each of the tests is 7.

Assessment by exam

In this assessment regime the final classification corresponds to that of the final exam.

It is not permitted to use scientific and graphic machines or other work elements in both tests and the final exam.