Syllabus for [Econ 98]: Introduction to Investment Banking

Course Description:
This course is designed to introduce students to the basic concepts of investment banking
and the types analysis performed by investment banking professionals.

Over a span of 14 sessions, the course will introduce students to the following topics:

1) What is the economic function of the investment bank and how is it different than
a commercial bank?
2) What are the different branches of the investment banking and how does each
branch function to achieve the bank’s overall objectives?
3) What are the different types of analyses performed by investment banking
professionals and what conclusions do they provide?

Using these concepts, the class will try to examine the status of the financial market over
the past two years and will be asked draw their own conclusions on the cause of the
financial turmoil and implications for the future.

The class will be taught by former investment banking analysts in PowerPoint and lecture
format. Students will have to make a final presentation in groups and are encouraged to
study with their group for the duration of the class.

The class will also try to provide insights into the investment banking analyst recruiting
process and the instructors will share with students their experiences.

Perquisites:
The class will be technically focused; Students will need basic knowledge of accounting
(UGBA 102 or similar class) and finance (UGBA 103 or similar class).

Students can be concurrently enrolled in those classes.

Students will be required to submit a resume to be considered for the class, as to give the
instructors a better idea of their background as well as to serve as an introduction to the
investment banking analyst recruiting process.

Time:
Classes will be held every Saturday 10am-12pm at [Location].
Grading:
Students’ grade will be based on weekly quizzes, a presentation, and written final. There
will be weekly non-graded homework assignment to help students prepare for the quizzes.

The grade will be weighted in the following manner:

Weekly Quizzes: 40%

Presentation Final: 25%
Written Final: 25%
Attendance: 10%

Students will pass with a grade of 80% or higher.

Lesson Plan:

1) Orientation / Investment Banking Interview Process

2) Additional Interview Exercises / Valuation 1: Financial Statement Analysis &
Calendarization
3) Valuation 2: Capital Structure, Treasury Stock Method
4) Valuation 2: Equity Value, Enterprise Value
5) Valuation 3: Comparable Companies Analysis
6) Valuation 4: Additional Comparable Companies Analysis
7) Capital Markets 1: Overview of Financial Instruments – Debt / Equity
8) Capital Markets 2: Role of Investment Banks in the Capital Markets
9) Capital Markets 3: IPO Process
10) Open Topic 1 / Guest Lecture
11) Interview and Career Tips
12) Exam Review
13) Final Presentation
14) Written Final