Finance is the efficient allocation of resources across time and risk. Broadly speaking, there are three types of players in finance: Individuals, Corporations, and Financial Markets.
We will look at all three of these players. However, since we cannot look at them in isolation, we will not cover them in sequence. We will organize all this material into a few broad topics:
1. Financial Markets and Valuation
a. Introduction to "value"
b. The foundation for modern corporations: NPV
c. Valuation via Discounting cash-flows
d. Stock Valuation
2. Equilibrium Asset Returns
a. Efficient Markets
b. Portfolio theory
c. Equilibrium Asset returns (i.e., the CAPM)
3. Corporate Finance
a. Capital Budgeting
b. Capital Structure
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