The core-satellite model revisited, tracking error control, ETF's and satellites possibilities
Essay - 13 pages - Finance
A core-satellite management consist in having a core portfolio made up of passive management vehicles (index funds, ETFs, etc.) with low management fees, and separately one, or several, very active satellites that are made up of funds with a strong tracking error, or even funds with no constraint...
Definition and analysis of different notions of advanced corporate finance
Course material - 12 pages - Finance
Investment management is the management of various securities as shares, bonds and asses in a professional way. The aim is to satisfy the investment aims and needs of the investors. Investors could be represented by insurance companies, pension funds, corporations that is to say by institutions...
Capital budgeting methods
Essay - 7 pages - Finance
Capital budgeting is concerned with the process of producing, evaluating, selecting and controlling capital expenditures. In this context, capital budgeting decisions are critical. Winning projects typically produce positive cash flows for a long period of time, while failing projects do not...
Exercises in Financial Management
Course material - 19 pages - Finance
In theory, managers should operate in the best interests of the owners, who are the stockholders within corporations. But currently, we can note that stockholders and managers do not have the same interests in the company. This is why, in practice, managers are operating in a different way that...
Analyzing financial statements: Bank of America/Citigroup analysis
Financial analysis - 13 pages - Finance
Bank of America Corporation is a financial holding company founded in 1874, with its headquarter in Charlotte, North Carolina. It provides banking and nonbanking financial services in the United States and other countries The company is divided into 3 segments namely, Global consumer / Small...
Top-down or bottom-up valuation process?
Essay - 6 pages - Finance
Investors typically select investments that provide a rate of return, which compensates them for their time, the expected rate of inflation and the risk involved. In this context, the value of an investment is estimated based on the required rate of return, which is calculated using either the...
The value of the Chinese Renminbi (RMB), its management and risks associated with investing in China
Case study - 6 pages - Finance
Ever since China adopted its Open Door policy, it has received unparalleled attention from international scholars. In recent years, this has been evident with respect to the exchange rate regime that China has applied. At first, the policy was lauded because it helped China steer the dire waters...
Efficient capital markets and the importance of behavioral finance
Essay - 7 pages - Finance
Efficient capital markets allow to consumers and companies to invest savings, borrow, and manage risk in the most effective way. Capital markets bring together companies, that seek to raise capital to invest in future performance and investors, who seek for a profitable return on their...
The Grameen Bank in Bangladesh
Case study - 11 pages - Finance
“Where businesses cannot develop, countries cannot flourish. Let us use this International Year of Microcredit to put millions of families on the path to prosperity. I extend my gratitude to the nation and people of Bangladesh for helping to show us the way.” the former UN general...
The modern portfolio theory
Essay - 7 pages - Finance
The aim of the Modern Portfolio Theory is to provide to a portfolio owner the tools necessary to implement an efficient and sustainable strategy focusing on minimizing the risk. According to this theory, risk is supposed to be reduced through the choice of a diversified portfolio. In fact,...
The financing of joint ventures
Essay - 7 pages - Finance
A joint-venture is an agreement between two partners from different countries and which consists of the creation or the joint acquisition of a joint venture on the market of the foreign partner. This co-operation is considered on the long-term. In other words, a joint venture is a group in which...
Critical discussion on the definition of assets and liabilities contained in the IASC Framework
Essay - 6 pages - Finance
Although it may come as a surprise to many non- accountants, the accounting profession internationally has encountered a great deal of problems in arriving at robust definitions for the elements of financial statements. Defining assets, liabilities, and gains and losses (income and expenditure)...
Compare the 1997 Asian financial crisis with the subprime crisis
Essay - 4 pages - Finance
The subprime crisis was triggered by an expectation of defaults of payments on subprime mortgages in the US. It is an on-going crisis that has already led to the free fall of the US housing prices, billions of losses by banks, and generally speaking a slow-down (maybe a recession) of the American...
Empirical evidence on Seasonalities - Inspecting the market anomalies
Market study - 12 pages - Finance
Anomalies, such as calendar effects, could be defined as phenomena where systematic returns patterns are observed. Partisans to informational market efficiency suggest that calendar effects are prone to disappear, as investors in the market could implement strategies in order to take advantage of...
Ben L. Kedia and Ananda Mukherji, Global managers: Developing a mindset from global competitiveness
Book review - 2 pages - Finance
Ben L. Kedia is a Director of the Wang Center for International Business Education and Ananda Mukherji is a Dirctor from ZoomInfo, the largest index of business people in the world (source: Wikipedia) . They emphasize in this article the huge importance of having skills other than technical...
The Ethical Finance Between Paradigm and Paradox
Dissertation - 84 pages - Finance
Linked with morals, with deontology and right, ethics is a reflection towards the research of the Good, a moving concept by essence. What deserves, nowadays, such an imminent questioning on ethics? Because of the increased pressure of the governments, increasing awareness of the organizations...
Michelin : financial case study
Case study - 14 pages - Finance
The world tire market was equal to 80 billion dollars in 2005. That is to say that each year more than 1 billion tires are sold for cars and light trucks. 75% of the sales are for European, North American and Asian countries. Michelin is the leader of this market in those areas because it deals...
Managerial finance, Tesco - publié le 12/06/2008
Case study - 25 pages - Finance
Tesco Plc. is the biggest retailer by sales in U.K (T.N. Sofres, 2012). Its market share has grown since 2010, 30.6 to 2012, 31.5, through 2011, 30.9 (Tesco, 2012). The company recorded revenues of £64,539 million during the financial year ended February 2012, an increase of 13.1 from 2010...
An investigation in to the problems with corporate pension funds
Essay - 12 pages - Finance
Beginning with the New Deal, efforts to secure the social and economic prosperity of employees after retirement have been developed. This process has lead to the evolution of the current system of corporate pension funds. Although millions of American workers invest in these funds each year, few...
Multi - National enterprises
Essay - 7 pages - Finance
A uni national company is an enterprise or a business, a venture which target is to have some customers in order to make some profits. But, it is represented in only one country. They can be smalls or big like the railway company in France SNCF for example. A multinational enterprise (MNE) may be...
Evaluation of Capital Gains Tax Proposals for 2008/09 in UK - publié le 05/06/2008
Essay - 3 pages - Finance
Capital Gains tax (CGT) has been much reformed in history because it is a very complex tax. CGT is "a tax on the increase in the value of an asset between its acquisition and its disposal" (IFS). Chancellor Alistair Darling introduced his Pre-Budget Reporting on 9 October 2007 which showed many...
An Investigation Into the State of Microfinance in Benin (2005)
Essay - 16 pages - Finance
Research on the economic and social development of countries in Africa demonstrates that there are a host of issues that must be addressed in the context of improving daily economic conditions for individual citizens. While some of these issues have been addressed by government agencies and...
When a famous bank ( Société Générale ) is plunged into the world's largest financial fraud ever known by a simple junior trader
Case study - 16 pages - Finance
In January 2008, the financial world was disrupted by the world's largest financial fraud case known to date. The famous French bank, Société Générale, recorded a loss of 5 billion euros due to false positions taken by a junior trader, Jérôme Kerviel. To fully appreciate how he did this, it's...
Legal aspects of international mergers and acquisitions: Sacyr/Eiffage
Essay - 7 pages - Finance
The Sacyr/Eiffage case involves two public construction companies, the Spanish Sacyr Villehermoso and the French Eiffage. First, let's introduce those two companies. Sacyr is a leading Spanish construction company based and listed in Madrid. It is publicly traded and part of the IBEX 35, the...
Financial analysis of ExxonMobil
Financial analysis - 15 pages - Finance
The Financial analysis of ExxonMobil: ExxonMobil is one of the rare modern companies which were already involved in activities related to the oil industry in the nineteenth century. Besides the Benelux countries, the roots of the current organization are in Antwerp and Rotterdam. In the United...
Contemporary international finance and East Asian economic integration
Essay - 16 pages - Finance
The “Current Account crisis” is a particular type of external debt crisis that affects mostly low-income developing countries. It is characterized by a huge deficit in the current account balance which provokes a Balance of payments deficit and a currency crisis. A current account...
Bretton Woods Institutions (IMF and World Bank): history and Modern situation
Essay - 13 pages - Finance
To overcome the chaos and the devastations caused by the Second World War, Countries had to set up new institutions liable to restore a stable international order. This reconstruction was led by the United States of America and its allies. From 1941, in the Atlantic chart, the allies wanted to...
It is clear that there is a relationship between risk and return, but we are not yet clear exactly what that relationship is
Essay - 3 pages - Finance
Incertitude about expected returns is one of the criteria which influence the largest number of strategic investment decisions. Thus the relationship between risk and return is a fundamentally financial relationship, because it affects expected rates of return on investment. This relationship...
There is no such thing as a perfect capital structure
Essay - 6 pages - Finance
The relevance of a company capital structure has been the subject of several theories and debate. The capital structure of a company is a mix of different securities. Capital structure refers to the way a corporation finances itself through a combination of equity sales, equity option, bonds and...
Rank group PLC
Financial analysis - 17 pages - Finance
The Rank Group provides leisure and entertainment services. It mainly operates in the United Kingdom and North America. Rank's businesses include Mecca Bingo, Grosvenor Casinos, Blue Square, Top Rank España and Hard Rock. This document presents the story of the Rank Group and some of its...
