Managerial Finance

Managerial Finance deepens the foundations of first-year Corporate Finance by developing the analytical tools and strategic understanding required to interpret and communicate financial decisions. The course examines how firms evaluate investments, measure and price risk, fund their activities, reward shareholders, manage governance challenges and undertake major corporate transactions. Emphasis is placed on how these choices shape corporate value and influence the firm’s relationship with investors, analysts and capital markets, and on how these decisions are grounded in the principles of modern financial theory.

The perspective is explicitly managerial. Students learn to analyse financial decisions through the lens of the financial manager, understanding how capital allocation, risk management, financing strategy, governance structures and corporate transactions interact with the firm’s long-term strategic direction. This orientation is essential for future Investor Relations professionals, who must combine technical understanding with the ability to articulate the rationale behind financial decisions clearly to internal and external stakeholders.

The course is analytically rigorous and aims to bring students to the technical and conceptual level expected in an MBA program, while maintaining a distinctive focus on Investor Relations and financial communication.

By the end of the course, students will be able to:
•    Apply net present value, discounted cash flow and related valuation techniques to corporate investment decisions.
•    Understand the relationships among risk, return and the cost of capital and articulate their implications for corporate valuation and strategy.
•    Understand the basics of derivatives and options, their use in hedging and risk management, and the fundamentals of pricing them.
•    Assess financing alternatives, capital structure choices and market reactions to corporate financing decisions.
•    Analyse payout policies and explain their strategic rationale to investors. 
•    Communicate complex financial analyses clearly, accurately and effectively to diverse stakeholders.

• Quality education
• Decent work and economic growth
• Industry, innovation and infrastructure

In presence

Students are expected to have access to the most recent available edition of Principles of Corporate Finance by Richard Brealey, Stewart Myers, Franklin Allen and Alex Edmans. The latest publicly available release is the 2025 Edition (McGraw Hill, ISBN 978-1-266-58615-6). Other recent editions are also acceptable.

Written exam.