Overview
Investment banking is a specialized area of financial
services that helps corporations, governments, financial institutions, and
other organizations raise capital, undertake major financial
transactions, manage strategic financial decisions, and access capital markets.
Unlike traditional commercial banking, which primarily focuses on activities
such as deposits, lending, and payment services, investment banking focuses
heavily on capital raising, mergers and acquisitions, securities
issuance, financial advisory, valuation, underwriting, restructuring, and
capital-market transactions.
Investment banks act as intermediaries between organizations seeking capital
and investors seeking investment opportunities. They also provide financial
advice to companies involved in major strategic transactions.
A simplified representation is:
Company/Government → Investment Bank → Capital Markets/Investors
Through this process, investment banks help channel financial resources from
investors to businesses and other entities that require capital.
Target Participants
- Investment banking professionals
- Corporate finance officers
- Financial analysts
- Bankers and relationship managers
- Treasury professionals
- Accountants and finance managers
- Investment and portfolio managers
- Risk and compliance officers
- Business owners and entrepreneurs
- Professionals interested in corporate finance and
capital markets
FUNDAMENTALS OF
INVESTMENT BANKING AND CORPORATE FINANCE
Module
1: Introduction to Investment Banking
- Meaning and evolution of investment banking
- Role of investment banks in financial markets
- Investment banking versus commercial banking
- Core investment banking activities
- Investment banking business models
- Key participants in investment banking transactions
- Role of investment bankers
- Ethics and professional conduct
Module
2: Corporate Finance and Financial Advisory
- Principles of corporate finance
- Capital structure decisions
- Sources of corporate financing
- Equity versus debt financing
- Working capital and liquidity considerations
- Financial restructuring
- Corporate financial strategy
- Role of investment banks as financial advisers
Module
3: Capital Markets
- Overview of financial and capital markets
- Primary versus secondary markets
- Equity markets
- Debt markets
- Money markets
- Securities exchanges
- Market participants
- Brokers, dealers and investment banks
VALUATION, SECURITIES AND TRANSACTION STRUCTURING
Module
4: Business and Financial Valuation
- Principles of business valuation
- Purpose of valuation
- Enterprise value versus equity value
- Discounted Cash Flow (DCF) valuation
- Free cash flow
- Cost of capital
- Comparable company analysis
- Precedent transaction analysis
- Valuation multiples
- Sensitivity and scenario analysis
Module
5: Equity Financing and Initial Public Offerings
- Equity capital raising
- Private placements
- Public offerings
- Initial Public Offerings (IPOs)
- Rights issues
- Follow-on offerings
- Underwriting
- Book building
- Pricing securities
- Listing requirements
- Investor considerations
Module
6: Debt Financing and Fixed-Income Securities
- Corporate debt financing
- Bonds
- Notes
- Commercial paper
- Syndicated loans
- Structured debt
- Debt covenants
- Credit ratings
- Interest-rate considerations
- Debt issuance process
- Debt refinancing
Module
7: Financial Modelling for Investment Banking
- Principles of financial modelling
- Financial statement forecasting
- Revenue and expense projections
- Cash-flow projections
- Capital expenditure
- Working capital assumptions
- Debt schedules
- Valuation models
- Scenario analysis
- Sensitivity analysis
- Investment banking models using Excel
MERGERS, ACQUISITIONS AND DEAL EXECUTION
Module
8: Mergers and Acquisitions (M&A)
- Meaning and types of M&A
- Strategic rationale for acquisitions
- Horizontal, vertical and conglomerate transactions
- Acquisition targets
- Due diligence
- Deal valuation
- Synergies
- Purchase consideration
- Deal structures
- Negotiation strategies
- Post-merger integration
- M&A risks
Module
9: M&A Valuation and Transaction Analysis
- Acquisition valuation
- Enterprise value
- Equity purchase price
- Transaction multiples
- Synergy analysis
- Accretion and dilution
- Financing alternatives
- Cash versus share consideration
- Leveraged acquisitions
- Transaction sensitivity analysis
Module
10: Underwriting and Deal Execution
- Investment banking deal process
- Client engagement
- Pitch books
- Information memoranda
- Term sheets
- Due diligence
- Deal structuring
- Underwriting process
- Syndication
- Investor presentations
- Negotiation
- Closing transactions
Module
11: Investment Banking Risk Management and Regulation
- Market risk
- Credit risk
- Liquidity risk
- Operational risk
- Legal risk
- Reputational risk
- Conflict-of-interest management
- Insider trading
- Market abuse
- Know Your Customer (KYC)
- Anti-money laundering requirements
- Securities regulation
- Corporate governance
- Professional ethics
Module
12: Emerging Trends in Investment Banking
- Digital investment banking
- FinTech and capital markets
- Artificial intelligence
- Data analytics
- Automated financial modelling
- Sustainable finance
- ESG investing
- Green bonds
- Private equity and venture capital
- Alternative financing
- Changing investment banking business models