Financial Modelling Using Excel

The spreadsheet as a financial tool has been in use in organisations for many years.Many employees are familiar with using the most basic functions in building simple models using the intrinsic functions of Excel. This is exemplified by the common use of macros by users. However, with the constant changes in the business environment being the norm of the day, there is a need to move organisations beyond efficiency. The objective of the course is to build on the current skill level of the participants to build more complex models using the advanced Excel financial functions and tools and to enhance participants' knowledge of modeling languages such as VBA and IFPS.

"handson" approach to learning corporate models rather than focusing on the theory.

Course Contents

Building Financial Models

• What is modeling
• Spreadsheet uses and limitations
• Modelling with influence diagrams
• Modelling with IFPS and VBA
• Spreadsheet design principles
• Demonstration & Case Exercise

Financial Statement Modelling

• Use of financial statements
• Financial statement analysis
• Using financial statement models for valuation
• Case Exercise

Investment Modelling

• Review of DCF techniques
• Financial Functions
• Investment modelling techniques
• Case Exercise

Excel Advanced Functions Overview

• Expressions
• Decision logic
• Built-in functions
• Exercises

Sensitivity Analysis Modelling

• Sensitivity analysis and strategic thinking
• Sensitivity analysis techniques
• Case Exercise

Building Complex Models

• Using macros
• Using VBA
• Exercises

Simulation Modelling

• Risk and uncertainty
• Goal Seeking
• Linear programming & optimisation
• Case Simulation & Exercise

Modelling Application Case Study

• B-S Option Pricing Model

Entry Requirements

Preferably a University degree or experience in a finance area and at least 6 months relevant spreadsheet experience.