Special Topics in Finance

Course Description

This course aims to identify the financial resilience of companies, how to diagnose them, and the management of working capital and its financing policies. The relationship between cash, accounts receivable, inventory, the company's financial solidity, the concept of merger and acquisition in companies and the justifications and results of each of them, the factors of failure in those cases and the concepts of securitization. The concept of leasing as a financing alternative, its types, and effects. Bank capital adequacy analysis in accordance with the decisions of the first, second and third Basel Committee agreements. Theories of corporate governance and agency theory and itsproblems.

Course Aims

By the end of this course, students should be able to: • Recognize the concept of the company's financial solidity and how
to diagnose it.
• Learn the concepts and methods of working capital management, investment strategies and financing strategies.
• Recognizing the relationship of cash, accounts receivable, and inventory to financial solidity.

•  Identifying the concept of merger and acquisition in companies, the justifications and results of each, and the factors of failure in those cases.
• Getting to know the concept of securitization and its mechanisms.
• Exposure to the concept of leasing as a financing alternative, its types, and effects.
• Study of banking capital adequacy analysis according to the decisions of the Basel Committee.1, 2, 3.
• Learn the concepts and theories of corporate governance.

Course Contents:

•  Firms' financial strength:

The concept of financial rigidity and its measurement through the dimensions of liquidity and growth.

• Working capital

The concept of working capital and theories of its financing and the study of the relationship between cash, accounts
receivable and inventory on the one hand, and the financial solidity of the company on the other.

•  Corporate Governance

The concept of governance, its characteristics, guidelines, principles, requirements for its application, and the reasons that led to its emergence.

•  Agency Theory

The concept of agency, the principles upon which it is based, the problem of information asymmetry, and howcorporate governance has addressed it.

•  Mergers and Acquisitions

The concept of integration, its objectives, and stages, and how it can be benefited from

• Leasing as a financing alternative

The concept of leasing, its nature, and the characteristics of both operating leasing and financial leasing

• Securitization

The concept of securitization, its objectives, methods of application, and how it can be used to activate the issuance market.

•   Capital adequacy considering the decisions of the Basel Convention

The requirements of the Basel Agreement 1, 2, 3 to ensure the protection of banks andtheir impact on investment and the banking system

Course ID: FIN499