Introduction

• Explains the goals of equity research involving holistic overview of the business and analyzing its qualitative and quantitative aspects
• Provides an overview of the process of equity research and essential elements for equity research
• Describes the different types of equity research such as private equity research, contra-investments etc
• Describes the process flow in equity markets and its functioning
• Describes the classification of stocks and various participants in the markets
• Provides a brief overview of the motives and process involved in equity valuation
• Describes the role of an analyst in the process of equity research and valuation
• Describes the concept of alpha and its usage in performance evaluation of an investment
• Explains the role of equity research in capital market
• Illustrates the different approaches to equity research such as Top-Down-Bottom-Up approach, DCF, DDM, FCFF etc

Economic Analysis

• Explains the need and advantages of economic analysis
• Explains the need and importance of macro and macro economic analysis
• Explains the inter-relationship between stock markets and macroeconomy
• Explains the role of indices and indicators in the process of equity research
• Explains the types of interest rates and their inter-relationship
• Provides a brief overview of the fiscal and monitory policies

Corporate Finance

• Explains the fundamentals of business finance, process involved in analysis and investment
• Explains the scope, elements and objectives of financial management
• Explains the functions of financial management and financial instruments
• Explains the process involved in the financial evaluation of investments and marketable securities
• Explains the concept of NPV and capital budgeting
• Illustrates the concept of financial planning and financing decisions
• Explains the concept of capital structure – corporate financing decisions, limits to the use of debt, valuation and capital budgeting for leveraged firms and dividend policy

Industry Analysis

• Explains the competitive business strategies and their sources of evaluation such as the industry, firm and competitive reaction
• Explains the various tools and policies in industrial analysis such as S-curve approach, SWOT analysis etc
• Illustrates the Porter’s Five Force Analysis and Porter’s Generic Strategies

Company Analysis

• Provides a brief understanding of the management system and overview of the steps involved in the process of business analysis
• Explains the different types of financial statements and their interpretation
• Explains the various sources of data collection for financial statements
• Describes the process of financial statement analysis
• Describes the Growth Rate Sustainability
• Explains the process of cash flow valuation and the techniques of valuation
• Explains the concept of Capital Asset Pricing Model (CAPM), assumptions of CAPM, problems of CAPM, concept of efficient frontiers etc
• Explains the Arbitrage Pricing Theory (APT) Models, relationship of with CAPM, relation between APT and asset management
• Provides a brief understanding of the role of competition and revenue drivers during company analysis

Valuation

• Explains the fundamental concepts of equity valuation
• Illustrates about the different types of valuation models such as Cash Flow Models, Asset Based Models, Relative Valuation and Option Based Models
• Illustrates the various valuation techniques such as interpreting financial statement, cash flow statements, ratio analysis etc
• Describes the process involved in forecasting and growth rate analysis
• Describe the process and steps involved in preparation of research reports

Modeling

• Explains in detail the purpose and application of Dividend Discount Models, Gordon Growth Model, Free Cash Flow Models, Relative Valuation Models and SOTP Valuation

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