The course provides fundamental techniques for simulation-based quantitative corporate finance, intuition regarding model design best practices, and an overview of cost-of-capital topics from a quantitative perspective.
Computation-intensive techniques have expanded the field of funding design in new directions, providing better insights about how operating and market risks flow through a firm. Coupled with recent advances in credit strength measurement and constraint-based optimization, we can now tune a capital structure while quantitatively trading off the concerns of debt lenders, equity investors, and management.
Students will produce fully functional simulation models in Excel, allowing Monte Carlo-based company modeling and risk management. The limitations of the quantitative approach and its relationship to classical methods will also be discussed.
Hans Tallis is a Managing Director in the Corporate Finance Group at Wells Fargo Securities. The group advises corporate clients on capital structure issues, identifying opportunities for improving funding efficiency, managing risk, and enhancing shareholder value. Hans holds an MBA from Columbia, an MS in Computer Science from Carnegie Mellon, and BS degrees in Applied Mathematics and Computer Science from the University of Virginia...