About this course: In Value, you will explore the most powerful generator of value in the world – ideas. Ideas are the engines of productivity, both in the private and public sectors. You will learn about the universal frameworks that determine how ideas and money interact, leading to the allocation of financial resources. We will identify components of cash flow for any project, business or venture as the most essential ingredients of value. We also assess the investment techniques used to give life to some ideas while killing others. This course will help you understand pricing, diversification, uncertainty and even behavioural approaches to dealing with risk. Using Nobel Prize-winning insights, you will learn how to measure the size of the risk premium and build valuation models. We’ll even connect evidence-based science with common-sense analysis to give you better tools for understanding why values are what they are, and for positioning yourself more effectively to participate in financial markets. You will be immersed in case based learning to integrate some of the powerful frameworks introduced in Value.
Who is this class for: Whether you work in the financial industry or are a novice, this course is aimed at anyone wanting to develop financial literacy with respect to assessing the value of ideas and investments, practice applying valuation techniques to a case, compare scenarios of market perfection and market correction, and prepare for financially-turbulent times.
Created by: McMaster University
Taught by: Arshad Ahmad, Professor
DeGroote School of Business
| Basic Info | Course 3 of 5 in the Finance for Everyone Specialization |
| Commitment | 4 weeks of study, 1-2 hours/week |
| Language | English |
| How To Pass | Pass all graded assignments to complete the course. |
| User Ratings |
Syllabus
WEEK 1
Investment Techniques
Welcome! This first week will engage you in investigating how value is created, distributed and destroyed, and will enable you to utilize different techniques for assessing the value of existing or potential investments. You will make connections between Value and concepts in the prior two courses of this Specialization, share (potentially valuable!) good ideas with your fellow learners, and communicate your new insights with the world.
3 videos, 6 readings, 1 practice quiz
- Reading: F4E Specialization Snapshot
- Video: Trailer: World Events, Turbulence, and Your Money
- Video: Introduction to Finance for Everyone: Value
- Reading: Course Outline
- Practice Quiz: F4E: Value Introductory Survey
- Reading: Where are our learners from?
- Reading: Keeping a Learning Portfolio
- Discussion Prompt: Participant Introductions & F4E Insights
- Video: Investment Techniques
- Reading: LearnSmart: What it is and how to use it
- Reading: LearnSmart: Net Present Value and Other Investment Criteria (optional)
- Discussion Prompt: What's the Big Idea?
Graded: Investment Techniques
Graded: Making a Difference 1
WEEK 2
Capital Investment Decisions
This week, we investigate cash flows! By week’s end, you will be able to explain its wide-ranging importance, employ critical assumptions to make decisions about potential investments, and utilize components used to analyze an existing or proposed idea. Furthermore, you will apply these skills to the first case of this Specialization and engage with your peers in discussion to collaboratively work through this scenario!
3 videos, 3 readings
- Reading: LearnSmart Chapter 10: Making Capital Investment Decisions (Strongly Recommend)
- Video: Cash Flow Assumptions
- Reading: Cash Flow Components Chart - Before and After
- Video: Cash Flow Components
- Discussion Prompt: Failed Ideas
- Video: Introduction to the Mini-Case
- Reading: Mini-Case Challenge
- Discussion Prompt: Mini-Case Challenge Discussion Thread
Graded: Cash Flow Assumptions
Graded: Cash Flow Components
Graded: Making a Difference 2
WEEK 3
Market Efficiency & Risk
In week 3, you will begin to explore the big picture themes of market perfection and market correction. Within the context of these broad themes, you will contrast financial theory with financial practice, explain price convergence and divergence, and discern between the roles of risk and uncertainty in valuation. You will also take up the solution to the mini-case presented in week 2!
2 videos, 1 reading
- Video: Perfection & Correction Part 1
- Reading: LearnSmart Chapter 12: Lessons from Capital Market History
- Discussion Prompt: What is Risk?
- Video: Mini-Case Solution
Graded: Making a Difference 3
WEEK 4
Market Inefficiency
In this final week of F4E: Value, you will continue exploring market perfection and correction. You will interpret financial data, determine your opinion on the possibility of an upcoming market correction, and identify strategies you can use to protect yourself from turbulence. You will also reexamine your big idea from week 1, share your biggest takeaways from the course, and look ahead to F4E: Debt.
2 videos, 1 practice quiz
- Video: Perfection & Correction Part 2
- Discussion Prompt: Revisiting the Big Idea
- Video: Course 3 Epilogue & Preview of Course 4
- Discussion Prompt: Beyond Value
- Practice Quiz: End of Course Feedback
Graded: Perfection & Correction Parts 1 & 2
FAQs
How It Works
Coursework
Each course is like an interactive textbook, featuring pre-recorded videos, quizzes and projects.
Help from Your Peers
Connect with thousands of other learners and debate ideas, discuss course material, and get help mastering concepts.
Certificates
Earn official recognition for your work, and share your success with friends, colleagues, and employers.
Creators
McMaster University
Founded in 1887, McMaster University is committed to creativity, innovation, and excellence by inspiring critical thinking, personal growth, and a passion for learning. Ranked amongst the Top 100 universities in the world, McMaster pioneered a learner-centred, problem-based, interdisciplinary approach to learning that is now known worldwide as the “McMaster Model”.
Pricing
| Audit | Purchase Course | |
|---|---|---|
| Access to course materials | Available | Available |
| Access to graded materials | Not available | Available |
| Receive a final grade | Not available | Available |
| Earn a shareable Course Certificate | Not available | Available |
Ratings and Reviews
Great course!!
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It is very helpful and interesting course. But you need to understand math. ;)