EM165M32
Programme
PGE
Visitants
Visitants
UE
Value and Growth Investing
Semestre
B
Discipline
Finance
Volume horaire
27 H
Nombre de places
45
Ouvert aux visitants
Oui
Langue
EN
Responsable
Benjamin MAURY
Liste des intervenants
| Intervenant(s) | Volume horaire CM | |
|---|---|---|
| Benjamin MAURY | benjamin.maury@hanken.fi | 27 h |
Contribution pédagogique du cours au programme
Aucune contribution pédagogique associé à ce cours pour ce programme.Descriptif
This course deals with value and growth investing. The first part develops a framework for value investing based on a modern treatment of the Graham and Dodd approach to investment management. The course covers the search for undervalued stocks, the valuation of stocks that pass the screening process, and the investment decision to buy a stock if it is below the intrinsic value by a margin of safety. The second part of the course moves beyond value and quality investing and focuses on growth investing. A framework for understanding growth from a (i) strategic management perspective and an (ii) investor perspective is developed.Organisation pédagogique
Face-to-face
- LecturesIn group
- Oral presentations
- Projects
Interaction
Aucun élément de cette liste n'a été coché.Others
Aucun élément de cette liste n'a été coché.Objectifs pédagogiques
Cognitive domain
A l'issue du cours, l'étudiant(e) devrait être capable de / d'...- - (niv. 1) Identify investment opportunities and make investment decisions
Affective domain
A l'issue du cours, l'étudiant(e) devrait être capable de / d'...Aucun affective domain n'a pour le moment été associé à ce cours.
Objectifs de développement durable abordés
Aucun objectif de développement durable n'a été coché.
Plan / Sommaire
Introduction to the course : Overview of course and requirements Session 1 (February 6, 10:00-12:00, room TBA): Introduction to the value approach to investment management - Factors that cause prices to deviate from fundamental value - Overview of the value investing process - Overview of valuation by active investors - Valuing the assets Literature: Greenwald, B., J. Kahn, P.D. Sonkin, M. van Biema. Value Investing: from Graham to Buffett and Beyond. 2001. Chapters 1-4. Recommended further reading: Graham, B. The Intelligent Investor. Revised edition, 2003. Chapters 1, 8, and 15. Penman, S. 2006. Handling valuation models. Journal of Applied Corporate Finance 18, 48-55. Session 2: Earnings Power Value - Strategy - Earnings power value: assets plus franchise Literature: Greenwald, B., J. Kahn, P.D. Sonkin, M. van Biema. Value Investing: from Graham to Buffett and Beyond. 2001. Chapters 5-6. Greenwald, B., J. Kahn. All strategy is local. Harvard Business Review, September 2005 (10 pages). Recommended further reading: Graham, B. The Intelligent Investor. Revised edition, 2003. Chapter 12. Session 3 Value of Growth & Portfolio Construction - The value of growth within the franchise - Shareholders and management - Margin of safety - Constructing the portfolio (diversification etc.) - Value investing cases Literature: Greenwald, B., J. Kahn, P.D. Sonkin, M. van Biema.Value Investing: from Graham to Buffett and Beyond. 2001. Chapter 7-8. Recommended further reading: Graham, B. The Intelligent Investor. Revised edition, 2003. Chapters 19 and 20. Session: Quantitative Value Investing - Stock screening (e.g., P/E and/or P/B) - Combinations: cheapness and quality (etc.) - Other quantitative value related investing methods (cheapness, quality, liquidity, technical factors, risk, and corporate governance) Literature: Piotroski, J.D. “Value investing: The use of historical financial statement information to separate winners from losers.” Journal of Accounting Research 38, 2000, 1-41 (Supplement). Novy-Marx, R., 2014. “Quality investing”. Working paper, University of Rochester, May 2014. Session 5): Growth and strategic plans - Holistic view of performance and growth - Overview of growth strategies - Analysis of the business environment - Changing business environments - Strategic plan Literature: Lecture slides. Recommended further reading on strategy: Saloner, Garth, Andrea Shepard, and Joel Podolny. 2001. Strategic Management. Wiley (USA). Chapters 2, 6, 11, and 15. Recommended further reading on competitive advantages: Greenwald, Bruce, and Judd Kahn. 2005. Competition Demystified: A Radically Simplified Approach to Business Strategy. Penguin Group (USA). Chapters 2-4. Session 6: Growth valuation and growth investing - Strategy and valuation - Valuing growth (DCF & Graham’s growth investing model) - Growth investing - Cases Literature: - Damodaran, Aswath, Valuing Young, Start-Up and Growth Companies: Estimation Issues and Valuation Challenges (June 12, 2009). https://papers.ssrn.com/sol3/papers.cfm?abstract_id=1418687 Recommended further reading: - McKinsey & Company Inc., Tim Koller, Marc Goedhart, David Wessels. 2015. Valuation: Measuring and Managing the Value of Companies (Wiley Finance). Chapter 34: “Valuing High-Growth Companies”. Graham, B. & Dodd, D. 1962. Security Analysis. Chapter 39: “Newer methods for valuing growth stocks”.[ http://csinvesting.org/wp-content/uploads/2012/12/Newer-Methods-for-Valuing-Growth-Stocks_1962_Security-Analysis2.pdf ] - Martin, F.K., Hansen, N., and Nicoski, R. 2012. Benjamin Graham and the power of growth stocks. Chapters 3 and 7. Growth investing: Damodaran, Aswath. 2012. Growth Investing: Betting on the Future? Ssrn.com. New York University - Stern School of Business Group presentations of investment cases (9*90 min,) - 30 minute presentations of investment case by group - 5 minutes for discussantsPrérequis nécessaires
Connaissances en / Notions clés à maîtriser
Aucun prérequis n'a été renseigné.Supports pédagogiques
Mandatory tools for the course
Aucun élément de cette liste n'a été coché.Documents in all formats
Aucun élément de cette liste n'a été coché.Moodle platform
Aucun élément de cette liste n'a été coché.Software
Aucun élément de cette liste n'a été coché.Additional electronic platforms
Aucun élément de cette liste n'a été coché.Bibliographie recommandée
Ouvrages principaux
Session 1 Greenwald, B., J. Kahn, P.D. Sonkin, M. van Biema. Value Investing: from Graham to Buffett and Beyond. 2001. Chapters 1-4. Session 2 Greenwald, B., J. Kahn, P.D. Sonkin, M. van Biema. Value Investing: from Graham to Buffett and Beyond. 2001. Chapters 5-6. Greenwald, B., J. Kahn. All strategy is local. Harvard Business Review, September 2005 (10 pages). Session 3 Greenwald, B., J. Kahn, P.D. Sonkin, M. van Biema.Value Investing: from Graham to Buffett and Beyond. 2001. Chapter 7-8. Session 4 Piotroski, J.D. “Value investing: The use of historical financial statement information to separate winners from losers.” Journal of Accounting Research 38, 2000, 1-41 (Supplement). Novy-Marx, R., 2014. “Quality investing”. Working paper, University of Rochester, May 2014. Session 6 Damodaran, Aswath, Valuing Young, Start-Up and Growth Companies: Estimation Issues and Valuation Challenges (June 12, 2009). https://papers.ssrn.com/sol3/papers.cfm?abstract_id=1418687Littérature complémentaire
Session 1 Graham, B. The Intelligent Investor. Revised edition, 2003. Chapters 1, 8, and 15. Penman, S. 2006. Handling valuation models. Journal of Applied Corporate Finance 18, 48-55. Session 2 Graham, B. The Intelligent Investor. Revised edition, 2003. Chapter 12. Session 3 Graham, B. The Intelligent Investor. Revised edition, 2003. Chapters 19 and 20 Session 5): Saloner, Garth, Andrea Shepard, and Joel Podolny. 2001. Strategic Management. Wiley (USA). Chapters 2, 6, 11, and 15. Greenwald, Bruce, and Judd Kahn. 2005. Competition Demystified: A Radically Simplified Approach to Business Strategy. Penguin Group (USA). Chapters 2-4. Session 6: McKinsey & Company Inc., Tim Koller, Marc Goedhart, David Wessels. 2015. Valuation: Measuring and Managing the Value of Companies (Wiley Finance). Chapter 34: “Valuing High-Growth Companies”. Graham, B. & Dodd, D. 1962. Security Analysis. Chapter 39: “Newer methods for valuing growth stocks”.[ http://csinvesting.org/wp-content/uploads/2012/12/Newer-Methods-for-Valuing-Growth-Stocks_1962_Security-Analysis2.pdf ] - Martin, F.K., Hansen, N., and Nicoski, R. 2012. Benjamin Graham and the power of growth stocks. Chapters 3 and 7. Growth investing: Damodaran, Aswath. 2012. Growth Investing: Betting on the Future? Ssrn.com. New York University - Stern School of BusinessTravaux de recherche de l'EM : Veillez à mobiliser au moins une ressource
Peuvent être renseignés les manuels coordonnés, les traductions de manuel, les études de cas traduites etc…Aucun ouvrage n'a été renseigné.
Modalités d'évaluation
Liste des modalités d'évaluation
Evaluation intermédiaire / contrôle continu 1Autre (date, contrôle surprise...) :
Ecrite et orale / en groupe / Anglais / pondération : 30 %
Précisions : Written investment case 0-30 points. The investment case is written by 1-3 persons, preferably in teams of 2-3 persons. Examples of published investment cases will be discussed during the lectures. - First draft of investment case (at least 6 pages) is due on February 19 at 3 pm. E-mail the first draft to benjamin.maury@hanken.fi - Case presentations (0-5 points) have been scheduled for February 25-27 - Discussant for another group’s case (0-5 points) - The final paper (0-20 points), 10-15 pages is due on February 28 at 3 pm. The final paper should also be e-mailed to benjamin.maury@hanken.fi In addition to the case assignment, there will be (0 to 6) bonus points from written summaries: - Discussion that summarizes in 3-5 pages the readings for the relevant session (Hand it in to me in the lecture room before the respective session starts or e-mail the summary to me at benjamin.maury@hanken.fi). Exception: the first summary (session 1) can be handed on by February 7, at 10 am. - One written summary gives 0-1 points - If one completes all four written summaries, there is an extra bonus factor of 1.5. The maximum bonus from summaries is thus 4 * 1.5 = 6 points.
Ecrite et orale / en groupe / Anglais / pondération : 30 %
Précisions : Written investment case 0-30 points. The investment case is written by 1-3 persons, preferably in teams of 2-3 persons. Examples of published investment cases will be discussed during the lectures. - First draft of investment case (at least 6 pages) is due on February 19 at 3 pm. E-mail the first draft to benjamin.maury@hanken.fi - Case presentations (0-5 points) have been scheduled for February 25-27 - Discussant for another group’s case (0-5 points) - The final paper (0-20 points), 10-15 pages is due on February 28 at 3 pm. The final paper should also be e-mailed to benjamin.maury@hanken.fi In addition to the case assignment, there will be (0 to 6) bonus points from written summaries: - Discussion that summarizes in 3-5 pages the readings for the relevant session (Hand it in to me in the lecture room before the respective session starts or e-mail the summary to me at benjamin.maury@hanken.fi). Exception: the first summary (session 1) can be handed on by February 7, at 10 am. - One written summary gives 0-1 points - If one completes all four written summaries, there is an extra bonus factor of 1.5. The maximum bonus from summaries is thus 4 * 1.5 = 6 points.
Evaluation finaleAutre (date, contrôle surprise...) :
Ecrite / individuelle / Anglais / pondération : 70 %
Précisions : 0-70 points (a minimum 35 points to pass the exam part). The exam is based on the required readings and the lecture slides.
Ecrite / individuelle / Anglais / pondération : 70 %
Précisions : 0-70 points (a minimum 35 points to pass the exam part). The exam is based on the required readings and the lecture slides.