Advanced Valuation
Kevin Kaiser

Objective
Participants will be exposed to a conceptually challenging program exploring both the theoretical basis and practical application of all major elements of DCF valuation. A single case study is used throughout the program to build upon the topics covered until participants have completed the valuation.

Key benefits
By attending this program, you will:

  • Deepen your understanding of the valuation concepts you apply daily
  • Re-focus / re-learn the financial theory behind estimating value
  • Further understand and enhance your knowledge of valuation theory and potential application
  • Question common practices and identify common mistakes and misunderstandings

Who should attend?
This program is designed for experienced professionals who want to expand their knowledge and gain new insights into company valuation.

Prerequisite
Participants should have valuation experience and be familiar with the basic valuation concepts, such as definition of free cash flows, the costs of capital, the Capital Asset Pricing Model and/or the Arbitrage Pricing Theory.  For those who do not have sufficient knowledge of valuation theory, AIF’s Valuation program can serve as an introduction to the topic.

Accreditation
Amsterdam Institute of Finance is registered with CFA Institute as an Approved Provider of continuing education programs. This program is eligible for 24 CE credit hours as granted by CFA Institute. If you are a CFA Institute member, CE credit for your attendance at this event will be automatically recorded in your CE Diary.

Faculty
Kevin Kaiser is Affiliate Professor of Finance, and Director of the International Executive Program at INSEAD, France. He teaches extensively in the executive and MBA programs at INSEAD and has received the MBA award for Best Teacher for Electives seven times.


For information about admission, please see our Practical Information.

Program Content
Day 1
Value Drivers and Cash Flow Modeling

The Key Building Blocks of Valuation

  • Different valuation methods
  • P/E multiples and other short-cut valuation techniques
  • NPV alternatives

Performing Historical Analysis

  • Analyzing financial statements
  • Identifying and calculating value drivers

Day 2

Forecasting, Continuing Value,
and Valuation in M&A

Evaluating a Company’s Strategic Position

  • Industry economics
  • Competitive advantages
  • Business system analysis
  • Forecasting Cash Flows and Continuing Value
  • Linking cash flow to underlying value drivers
  • Projecting inflation
  • Comparing projected performance with the past
  • Developing continuing value assumptions
  • Using scenarios and decision trees
  • Ensuring the overall reasonableness of the results

Day 3

Cost of Capital

  • Theoretical basis for cost of capital (CAPM, APT)
  • Where do we find our inputs to calculate cost of capital?
  • How do we account for tax shields from debt?

Valuation in M&A

  • Identifying value creation opportunities
  • Assessing value creation from corporate restructuring
  • Assessing value creation from synergies

Day 4

Valuation in Emerging Markets and Other Complications

Valuation of Foreign Companies

  • Estimation of cash flows in an international environment
  • Estimation of the cost of capital in international financial markets
  • Discussion of political risk

Valuation in Developing Countries

  • Valuation concepts in a high inflation environment
  • Government interventions

Using the Adjusted Present Value Method

  • Handling complicated tax scenarios, leverage situations, etc. using the APV method
  • Comparison of APV with traditional WACC method


Upcoming sessions
March 29 - April 1, 2010
€ 4,500
September 21 - 24, 2010
€ 4,500
December 13 - 16, 2010
€ 4,500
 
(AIF programs are not subject to VAT)