Postgraduate Course: Research in Corporate Finance (CMSE11472)
||College||College of Arts, Humanities and Social Sciences
|Credit level (Normal year taken)||SCQF Level 11 (Postgraduate)
||Availability||Not available to visiting students
|Summary||The course considers aspects of financial management, the funding of companies and capital budgeting believed to be of academic interest and practical importance.
The aims are to introduce students to current thinking and empirical research on the chosen topics and to develop skills of understanding and analysis. This course assumes some knowledge of discounted cash flow, the cost of capital, and the main ideas relating to debt policy, dividend policy and raising equity. Research in Corporate Finance adds to students' knowledge mainly by introducing them to empirical research on the topics studied. Research in corporate finance is a social science. Its aim is to understand about value creation and financial decision-making as observed in the corporate sector. Students will learn about the current state of knowledge regarding each topic studied, and they will learn about how research in this field is conducted, through studying the research design of selected papers.
Entry Requirements (not applicable to Visiting Students)
||Other requirements|| None
Course Delivery Information
|Academic year 2020/21, Not available to visiting students (SS1)
|Learning and Teaching activities (Further Info)
Lecture Hours 20,
Seminar/Tutorial Hours 2,
Programme Level Learning and Teaching Hours 4,
Directed Learning and Independent Learning Hours
|Assessment (Further Info)
|Additional Information (Assessment)
||Individual Assignment 30%
Individual Assignment 70%
||All students will be given at least one formative feedback or feedforward event for every course they undertake, provided during the semester in which the course is taken and in time to be useful in the completion of summative work on the course. Such feedback may be at course or programme level, but must include input of relevance to each course in the latter case.
For this course specifically students will receive written feedback on the assignment and general feedback on the exam.
|No Exam Information
On completion of this course, the student will be able to:
- Understand and critically discuss arguments and debates concerning advanced topics in corporate finance.
- Know, apply and critically evaluate advanced methods of empirical research in corporate finance.
- Understand and critically evaluate the financing arrangements of companies.
- Critically discuss complex lines of argument and reasoning as found in academic studies in corporate finance.
|Most readings in the programme are journal papers available in the Library via the electronic journal service DiscoverEd, through which students can download full-text copies of papers. The website is: https://discovered.ed.ac.uk/primo-explore/jsearch?vid=44UOE_VU2&lang=en_US|
A full list of readings will be provided separately. The course is not based on a particular text but reference is made to the following texts where possible. Do not worry too much about obtaining the most up-to-date edition; they do not change much from one edition to the next.
Brealey, R.A., Myers, S.C. & Allen, F., Principles of Corporate Finance, McGraw-Hill, 2017.
Berk, J. & DeMarzo, P., Corporate Finance, Pearson, 2014.
These texts cover similar ground and are very good, but there are other good texts.
Another useful resource is the website of Aswath Damodaran:
He writes papers on specific aspects of corporate finance, aimed at students and practitioners.
|Graduate Attributes and Skills
||On completion of the module, students should have developed their ability to:
- Understand complex lines of argument and reasoning in corporate finance research;
- Write answers to essay-style questions.
- Communicate and present research findings of existing studies.
|Course organiser||Dr Woon Sau Leung
|Course secretary||Mrs Kelly-Ann De Wet
Tel: (0131 6)50 8071