Académique Documents
Professionnel Documents
Culture Documents
practical requirement that a finance professional is expected to do in areas related to Financial Modeling. Excel
sheet is a predominant tool used in Modeling and the program shall cover its relevant usage in detail. The
workshop has 32 classroom contact hours spanning four days from 8 am to 6 pm. Objective of this program is
to build fundamental concepts on financial modeling and provide them techniques to build financial model
needed by their organisation.
Based on the need, you can enroll for entire 4 day program (MFM©) or for any of the two day program –
Day 1-2: FINANCIAL MODELING WITH EXCEL (2 Days) or Day 3-4: MODELING AND ANALYSING
DERIVATIVES USING EXCEL (2 Days)
1. Talking to Senior business and Finance management group, Financial consultants and analysts in the private
and public sectors and seeking their views and advice on what are the critical issues in Financial Modeling
and where they are investing budget.
2. Seeking the views of thought leaders, industry analysts and leading consultants to mould the agenda.
3. OptiRisk is in a unique position as a major part of our business is also training - which includes large
portfolio of public and closed in-house courses – from this we track which courses are generating most
participation and importantly again, where organisations are investing budget. Training is an excellent
barometer to market trends.
We believe that this is the most focused of any Financial Modeling workshop in India.
Also Attend:
Modeling & Analysing Derivatives Using Excel
–(From the same faculty)
Mumbai – 6th & 7th October, 2010
Program Fee: INR 13,000/- + ST
PROGRAM OBJECTIVE
MS Excel ® is today unarguably the most commonly used spreadsheet utility globally to do finance. In spite of
this, according to various surveys on Excel usage, a rather miniscule percentage of Excel Users use it to its full
potential. The focus of the course is to help the participants learn the tools and capabilities of this spreadsheet
application to perform from the simplest to the most complicated and elaborate financial analysis.
How the
Sources of
LBO/MBO
Funds:
would be
Financial funded. How
Sponsors much debt
needs to be
Management raised
Different Tiers
of debt
The important aspects this workshop focuses on is to apply the tools effectively while constructing financial
models, caring for scalability, making them flexibile, structuring in such a way that auditing the model results is
not cumbersome. These essential attributes make financial models accurate, flexible and user-friendly. The
workshop would use a ‘learning by doing’ approach, because that’s how the science and art of financial
modeling is learnt.
Results:
We expect that the participants attending the course will be able to learn significant financial modeling
capabilities using Excel that would be pertinent for corporate finance, financial analysis, risk management,
transaction structuring like modeling for M&A, etc. The level of the course is Intermediate to advanced.
KEY BENEFITS
- Master the use of Excel’s financial modelling tools - Incorporate elements such as risk, sensitivity,
and capabilities optimisation and forecasting into financial models
- How to design a model to suit your purpose - Produce meaningful management reports and charts
- Understand the different types of financial models for communication
and when each should be applied - How to identify and control key sensitivities through
- Construct financial models making use of a broad advanced spreadsheet simulation
range of Excel methods and techniques - How to design a model to maximise flexibility and
- Accurate forecasting corporate cash flows for project reliability
finance deals and structures - Practical tips for checking and debugging the mode
PROGRAM FACULTY
Our faculty is an experienced Investment Banker and a guest faculty in finance in IIMs, who specializes in Fixed
Income, Foreign Exchange and Credit Derivative products. We has conducted training programs for banks and
corporates in India, Singapore, Hong Kong, Middle East, and South Africa on topics such as Credit Derivatives,
Fx Derivatives, FI Derivatives, ALM, M&A, Financial Modeling for LBOs, Debt Capital Markets, Basel II and Risk
Management.
DAY ONE
DAY TWO
PROGRAM OBJECTIVE
A common misconception is that understanding derivatives requires knowing a lot of advanced math
which is the privilege of only the geeks. That said, sometimes you probably wonder how do these large bunch of
I-Bankers manage to provide derivative solutions to their clients because they don’t seem to have been rocket
scientists in their previous avatar. There would have also been questions like how do you actually engineer
those financial products? May be, you read something called Black Scholes, Ito’s Lemma, and so on but they
didn’t quite answer those questions convincingly, much less, make sense in the context of the real world of
finance.
In the last two decades, derivatives have become all-pervading in financial markets with outstanding
notionals in excess of US$ 600 trillion. If your profession has anything to do with finance, then there is a pretty
high chance that you will have something to do with derivatives at some point or the other. This course tries to
demystify and simplify derivatives using a tool like Excel. For a practioner, it may be difficult to relate the Black-
Scholes equation but it would probably start to make sense once you start thinking like an accountant about all
these greeks and put the differential equations in excel. In the workshop, we will start to think of each of these
greeks in terms of money, which is what traders do. The program covers a comprehensive list of topics that
derivative practioners need to understand for their day-to-day work.
dSt
(rnumeraire rasset ) * dt * dWt
St
C 1 2 2 2C C
S (rnum rasset ) S rnumC
t 2 S 2
S
KEY BENEFITS
Understand financial engineering specifically, how Appreciate how derivatives are structured to suit
derivative structures are engineered client requirements
Pricing and risk management of Equity, FX, Interest Learn simulation techniques for pricing derivatives
Rate and Credit Derivatives Learn how to solve any stochastic partial deferential
Demystify and simplify the quantitative techniques in equation (including Black Scholes equation) using
analysing derivatives using Excel spreadsheets
Be aware of derivatives as risk management tools Understand Greeks (Delta, Gamma, Vega & Theta)
Learn how to manage a derivative portfolio and the monetary implications of each of them
DAY ONE
Session One: multiple ways of deriving the Black–Scholes partial
differential equation
Geometric Brownian Motion the assumptions that go into the Black–Scholes
Financial variables with deterministic Jump and equation
stochastic jumps how to modify the equation for commodity and
Taylor series currency options
Our first differential equation
Binomial Model Session Two:
Binomial model for an asset price random walk
delta hedging Replication of price of a derivative product in general
no arbitrage is the cost of risk managing it
the basics of the binomial method for valuing options
Excel Exercise using a Partial Differential Equation
Discrete Hedging
risk neutrality
the effect of hedging at discrete times
Pricing exercises using Binomial model
hedging error
the real distribution of profit and loss
Simulating and Manipulating Stochastic Differential
Equations
Pricing exercises
Using Ito’s lemma to manipulate stochastic
differential equations
Equity Derivative Products
Continuous-time stochastic differential equations as
discrete time processes
Vanilla Options
Simple ways of generating random numbers in Excel
Call/Put Options
Correlated random walks Contract specifications of Call/Put Options
Exercise: Pricing with Black Scholes Model and
Monte Carlo Simulation and Related Methods Monte Carlo Simulation in Excel
the relationship between option values and Basic strategies containing vanilla options
expectations Call and put spread
how to do Monte Carlo simulations to calculate Risk reversal
derivative prices Risk reversal flip
simulations in many dimensions using Cholesky Straddle
factorization Strangle
Butterfly
The Black–Scholes Model Seagull
the foundations of derivatives theory: delta hedging
and no arbitrage
DAY TWO
Session Three: Fx Derivatives and Interest Rate Derivatives Session Four:
Modeling & Analysing Derivatives Using 6th & 7th October, 2010 - Mumbai Rs 13,000/-
Excel (2 Days) -
*(Service Tax Applicable)
Booking terms and conditions