Syllabus overview (public)

Programme	Master in Management
Academic Year	Academic Year 2023/2024
Module/course Code	RX20
Delivery location	Paris
Language	English
Course type	Elective courses 30h
Contact hours	30
ECTS	5
Level	5 (year post baccalaureate)
Semester	Spring
Module name	ACCOUNTING FOR INVESTMENT BANKING
Field (Discipline)	Financial reporting and audit
Academic Department	Financial Reporting and Audit

Outline

Module/course Summary

Accounting for investment banking focuses on topics relevant for participants who want to work in the area of investment banking, corporate finance, or private wealth. The course is structured as a primer on accounting-based valuation and analysis based on quantitative screens. The basic premise is that stock prices are established through an arbitrage process that involves proper use of accounting information. The course focuses on analysing companies to identify potential frictions in using accounting information to estimate firm value and to exploit these information frictions for active stock investing in public markets.

Students will use various analytical tools to analyze individual companies and to design and back-test stock screens based on accounting variables. They will also read a number of academic research papers and attempt to incorporate the insights from the studies into accounting-based investment strategies. These strategies include such topics as accounting anomalies in returns, accounting arbitrage, limits to arbitrage, factor investing, fundamental analysis, research on accounting quality, and developing the appropriate accounting information on which to trade.